One would think that the market would at some point rebalance to make it more attractive to choose this model as a reward for giving up flexibility and the potential comfort in being able to set up camp permanently. 

As an alternative source, you could look at successor data .com.

At this point you can't offset passive real estate losses with other types of income(ordinary / portfolio).However, she likely is not paying tax on her real estate cash-flow which makes real estate a better alternative to stocks / bonds from an after-tax perspective.

A habitable house, empty with a fresh coat of white paint, has a good chance of attracting a buyer willing to pay more than an investor.

Reach back to your friend with an alternate purchase plan and you need to come up with various option . eg:- All cash 50/60 k ,since you already planning to putdown 45k find the rest of the money via Private lender or from family & friends and close the deal .If your friend is firm on the price perform 1)principal only payment 2.)Interest [Rate under 4.5%]only payment with Balloon at end of 7th year  .Good luck

I really like the far west and northwest side of town as I grew up and lived in these areas and know them really well - plus when I do start investing I like that it is an attractive option for active duty being relatively close to Lackland.

Guardianship is a Major Pain but there are lesser alternatives. 

Where do you live that would make it attractive for people to Airbnb in multis?

2) The other more practical alternative is you may be entitled to any surplus bid above the amount of the taxes due.

If you alternative, you could likely get up to 80%, so lesser down.