Create income through rent.

FHA is not just for FTHB.FHA often takes issue with using departing residence rental income to qualify. 

Capital gains is way less than income tax.

As long as you have good credit and your income can support it (DTI) go to a local bank for financing.

I am also retired from the army and looking to put my duel incomes to work for me.

ALL the homes were built in a factory.. transported there and erected in less than 5 days.they are factory built but not in the style we are thinking of a box mobile home towed down the road.Or like we have done in Oakland CA over the years.. predominantly low income areas were we provide a new house.. but stick built is not feasible so we drag in the manufactured homes.And trying to get a RE agent to lose his license is pretty tough.. unless you just are plain mean.

My credit and income are solid.

The way I understand it if you borrow money with your IRA as a down payment  you may be responsible for some income taxes.

In your case, I believe you are correct in that you would only recognize the interest income.  

You build wealth by increasing income and minimizing expenses.