The reason I ask is I'm trying to determine if you can drive up the value of 2-4 unit multis simply by raising the rent vs making capital improvements. 

It is like a blended fund 

Ask for proof of funds and a SS award letter, or a bank statement that shows the amount of her SS.  

That would most likely raise the rents in the future and home prices.

The other way is to raise capital or partner with someone

Ideally (assuming) I have 250K that I would like to borrow 2 million and show my 401/IRA funds for reserve, is this scenario possible or is the bank right?

Factor in carrying costs, then throw in some contingency, then a just in case fund, and pretty soon you'll convince yourself the bank couldn't give you the property for free!

For the first time this year bank-owned property sales saw an increase, up 7%, with 147 recorded for the month compared to 138 last August.Investor purchases accounted for 19% of all home sales in Shelby County with an average sales price of $74,898. 45% of investor purchases were made by out-of-town buyers, with 38 properties purchased by CSMA BLT LLC, the leading hedge fund owner in Shelby County.Following is a breakdown of August home sales by municipality comparing 2017 figures to 2016:Home Sales by MunicipalityMunicipality#of Units SoldAvg.

We are raising funds to help our neighbors anyway possible.

I was being told that in order for the VA to fund the duplex, the individual taking out the loan has to qualify for the full amount of the property price themselves.