A property manager not requiring this raises serious red flags.

Some folks will use their own cash to add so they don't have a mortgage. 

You are required to disclose knob and tube wiring to insurance companies. 

I'm sure there are great, stable areas in Columbus but I'm not convinced the appreciation has been as strong as most would lead you to believe.I don't know much about Cincinnati, but one glance at the median list price over the past 5 years (attached below) would be enough for me to write it off as not appreciating.I'm personally partial to Detroit and that's where I invest and do a lot of business with other folks as well.

I was aware of the egress requirement, but was not considering the door size or ceiling heights.

What documents do they require, what credit scores do they allow, how do they verify previous rental history, etc.?

Ignore the folks telling you to wait 2 years to avoid capital gains.

Negotiations focused on securing the property at a favorable price, enabling us to achieve a profitable margin in a highly competitive market without requiring additional renovations.

If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee.

If the latter, simply give her the notice required (eg 30 or 60 days) that she needs to move.