I said, great, here is my opportunity to improve the unit and get market rent.

Of course providing improvements to the property is another way to justify the increase although you are not required to give a reason.”

I picked that area several years ago, because they're really doing a lot to improve the town.

Improve kitchen?

Again, you can’t be forced to sell , your other option is a cash buyer without an aversion to riskAs @jonathan Greene provided, you can use the pretty standard “distressed sale” verbiage telling the buyer that you have no intention of making any improvements or alterations to the property, and you aren’t even going to do the customary tasks sellers normally do for a transaction — you asked how not to have any liability for this transaction.

In my opinion, the appraiser will appreciate a detailed list of improvements. 

Total cost to live here (excluding repairs/improvements etc):  $313/month     I am basically able to save my whole salary now to purchase my next property. 

Short answer is yes, because the way I figure it is there is a certain expense of lost rental income, improvements a "owner user" may want vs "as is" which is "nice for rental property", plus if I can possibly avoid the traditional real estate commissions, and everything else. 

Send a comprehensive list of the improvements and the costs to the appraiser.

Because good deals have some aspect of creativity like improving the rent adding another bathroom changing the marketing strategy to improve the Noi,, why were the spread she would have killed the deal