The value of your debt@Eddie T. asked the right questions.

It's called Bigger Pockets : )If you are a beginner, I would suggest you start here to obtain your footing:http://www.biggerpockets.com/real-estate-investingAlso, believe it or not, the Real Estate Investing for Dummies Second Version book is helpful, pretty straight forward, and entertaining to read.  

With the houses being rented out by the room to college students higher caps are much easier obtainable (or rather obtainable at all).

If they are concerned about not being able to obtain another loan to buy property, then, as a lease option deal, it is probably dead.  

If you did get the property she would be clear of the debt which will make it easier for her to obtain future financing.  

However, today it seems you need to complete a background similar to obtaining a Fed Gov top secret clearance to obtain lender funding.Perhaps there is a post/thread somewhere on this site detailing some strategies?  

Actually, rather than go through the trouble of relying on a realtor to bid for HUD homes on your behalf, I've chosen to obtain my own RE license.  

Not sure about the laws in Alabama, but in Florida, if they don't move out on their own free will, you'll have to hire an attorney who files a motion with the county court to obtain a "writ of possession", which you then take down to the local sheriff's office to get the eviction.

In NC a homeowner cannot obtain a building permit if the property is not his primary residence without first obtaining a surety bond.

Though, if you are looking at used homes it's very rare to obtain funding from a bank unless you have a strong relationship.