Inspections and other legal protections insure that vulnerable people (tenants) are not taken advantage of. 

Personally, I might do a hybrid: refi to better my debt position (assuming that makes sense), rent it out for 3 years then sell to take advantage of the continued appreciation and capital gains tax exemption. 

parents are on board and can take advantage of VA benefits. 

Daughter is taking advantage of the situation and does not want to move out.

It may make sense for both of you to buy your 1st place under your own name to take advantage of the tax benefits while using the 5% primary residence and RRSP FTHB, and HELOC.

There may be ways to document the transaction to take advantage of the costs you incurred to renovate the property. 

Just thinking of all the benefits of living rent-free and having a rental property sounds like a dream to most, so I had to take advantage.

Or use the sale to take advantage of advantageous financing that will boost your return? 

@Petur Karlsson Bundling has it's advantages when you are putting all of your personal policies together in 1 place. 

By utilizing attractive long-term  debt when it's a good fit, you will still have the resources to buy cash when it's to your advantage.