It looks that he used a Checkbook IRA (aka IRA owned LLC), which give great flexibility and control to the account owner, but if you don't know the rules it would be easier to commit a prohibited transaction with this vehicle. 

Thereis roughly 26k in the account.What would be the best vehicle to move this money to in which she would garnish the best tax advantages and help any proceeds we pay her to be tax free/deferred?

Regardless of the asset, I'm hitting a wall about what type of loan vehicle I can use to re-fi.I know:1.

FHA will not insure a mortgage if it is determined that the transaction was designed to use FHA mortgage insurance as a vehicle for obtaining investment properties, even if the property to be insured will be the only one owned using FHA mortgage insurance."

If I would have more precisely estimated my rehab costs, I would have bought at a price that added some additional equity.

Leverage seems to be a key ingredient of real estate; however, this creates a taxable income (unrelated taxable business income) in an investment vehicle that has an otherwise tax-free environment. 

Sales will be the vehicle that brings in the PM.

I have recently read a lot of books (Rich dad/Poor Dad, The millionaire next door, Total Money Makeover,etc.) discussing financial freedom, and feel that real estate investments are one of the best vehicles for this.

Looks like biggest advantage is if you own a car it counts as depreciation as well. .just like a rental :)Link below was helpful .. https://turbotax.intuit.com/tax-tips/small-business-taxes/business-use-of-vehicles/L6hi0zzzh

The property is just the vehicle your dcash is riding at the time.