Your discount is off as well and can't say as to your rate of appreciation.I had rentals, I went to notes and got rid of most of my dirty holdings as I was losing opportunities for much, much, much better returns.Anything in this world that makes money, any trade, job, profession, investment or anything else has a barrier to entry into that opportunity.

Would the IRS say a property bought as an investment, imprroved, and held for 13 months or more qualify?

the cars on the street also say a lot. 1990 honda vs 2015 suv, etc

I am going to be the first one to say a deal like that is like discovering a leprechaun riding a unicorn in the back yard.

What did you think was going to happen, I will say a prayer for the poor girl though.

Some the timing was not right and the person that bought say a 200 space park in 06 and finally got everyone out in 08 was stuck in the mud for 3 or 4 years.

Under secondary market guidelines, you are not loaned up as they say. A

Is borrowing from my retirement funds to invest in real estate a good idea, say a fix and flip, where the profits are available right now and not when I'm 59 1/2.

However, I was able to 1031 out of a STNL and into two strip malls (one, mostly nationals, the other, all regionals) without having to pay to a 5 cap.As to appreciation, and as you say, a few renewals with increases and cleanup of CAM and you’re into a very nice appreciation in just a couple of years.  

(Vs. say a financial statement review which offers limited assurance to their being free from blatant error) I bet that's where part of his discomfort is coming from.