I hate to be the bearer of bad news but with a diagnosis that she has hip dysplasia, you need to have her spayed and not even consider breeding her - no matter what! If it does get better as she grows it will only be that the hip joint does not deteriorate more as she developes. It will always be there. By not letting her carry extra weight or taking it easy not to cause injury to the spot, she will have a easier time dealing with the problem. You will need to limit the kind of things you do with her also. No jumping or air jumps to catch balls or frisbees.

Hip dysplasia is hereditary and the trait could be passed onto her offspring which I am sure you do not want to occur. I know it is heart wrenching when you would like to breed. My first Golden had hip dysplasia and a heart murmur and I couldn't breed her either. My second girl (Dixie) I made sure she came from a strong line with good hip production and did breed her when she was 3 years old.