You'd learn and potentially earn a profit at exit.Another way is to wholesale the land.

This will be negative cash flow if using sustained maintenance /cap ex.

Second to cash in the bank is HELOC cash because you can use it however you want (you just have to see it already in an account).

But if you do want to invest out of state where cash flow is higher, I think it's worth narrowing down where you think the best markets are and then find a way to take a trip for a couple days or so. 

I would find a property that can provide you both.I used to aim for 8% cash on cash return + 4% appreciationGiven where the market is now, it is likely hard to find 8% cash-on cash and a 4% appreciation.I think 4% cash-on cash and 4% appreciation is do-able.

To Sum it up, its a good idea if you can exceed the cost of capital (higher rate than your cost of debt) with what you earn on your heloc/debt you pull out and invest.The question is how much gains above is enough to substantiate the risk of your variable interest rate, well thats up to your personal investing criteria.

Do you prioritize equity growth or cash flow in your investments?

Understand how to "add value" to the property and evaluate cap rates, IRR, cash on cash returns. 

If they get married it will help her earn SS benefits, etc etc. 

Does your refi give you enough cash to purchase your grandmother's home in cash?