Or is this more of a “ask for forgiveness” issue if it comes to that?

If you don't have enough Solo 401k funds to purchase the property as an all-cash deal, you can combine your Solo 401k funds with non-recourse debt to purchase the investment property.

I think this type of investment is more forgiving than many of the others.BTW, I don't have a load of investment advice, but I can help you fix almost anything.

We have always bought all our houses 100% our own cash (no hard money, syndication) and only took debt at ARV refi.  

I wanted to exit a previous investment in a condo which I only had 18% debt to equity (severely under leveraged).

There are still a lot of cashflow opportunities and Mike D is right, $150+ is virtually guaranteed if you don’t leverage and buy fairly smart – I have a couple C-/D+ class (no debt) that do mid $400 cashflow even after Cap Ex Reserve.

Stick with what she says her intent is and be ready to seek forgiveness rather than permission. 

Even if it's just a stepping stone for one to have better control of their own personal finances in order to get out of debt or save up money for a more traditional home.

It seems to me that this is a good thing because her debt is reduced, she'll just have to wait a little longer to save up for her down payment again.

@Gian Cunanan if you’re counting net worth it would be market value minus debt times percentage of the property you own.