She has tried to pull some money out of the property, but I understand that she has not been able to qualify for any cash-out programs (probably compounded due to Dodd Frank restrictions - she has very little income).

I am thinking to the future, trying to compound my money with time.I'm looking for any advice locals can add to my strategy, or any points I am missing.Some odd points:The reason I would like to keep around the universities is because whether or not in the future the market busts (if you believe the market is bubbling or plateauing) or the Navy expands (adding ships increases the jobs for a time then reduces after need is met), people will always go to college, meaning my first property I plan to keep for some time. 

Also real estate has a tremendous compound effect.

Compounding that mistake, however, was that the home shifted significantly (despite being repaired numerous times).  

Anything by grant Cardone - best one is 10XAlso "The Compound Effect" by Darren Hardy

You already pointed out most of the benefits, low interest rate, ease of pulling funds, POF available for all cash offers, interest only payments, no fees.The only downside in my opinion is if you take an investment loss, you need to still make the payments on that loss, thereby compounding the loss.

I like to show how important the "compounding" effect is to money, and how only in REI can you truly "compound" your initial cash investment...without ever spending it.I start it off by having my audience write down this sequence of numbers:  "1073741824"...twice, and then tell them "we'll come back to them later".I found that just giving my audience, whoever they are, the cold numbers at the end, down't have the same impact as walking them through the process...using animation, but I don't know if this would apply to you.  

Or apply a very thin coat of soupy joint compound then sand/texture/paint. 

However the walls in the basement are bowed and previous offers fell through because it would pass inspection for financing.

As an agent in a competitive market, VA offers are already problematic due to the inaccurate but commonly held perceptions that:1) The borrower doesn't have enough money for conventional and thus is at risk of being unable to close in case of a low appraisal or income issues during underwriting.2) The VA appraisal, often called a VA inspection, will uncover arbitrary but costly problems that need to be fixed before closing.This can be compounded if buyers are trying to use some of these non-local, call-center based lenders who are unable to accommodate quick settlements.