The best thing about the Element, in my opinion, is that the interior practically begs to be used as a camper.
The poor ground clearance certainly is a strong limitation. A lot of people worry about the low, exposed gas tank, but in practice it isn't a real problem. I have not read of a punctured tank. Mine only has some superficial scratches, while the exhaust resonator on the other side of the car has a big dent. I also have some scratches on the rear subframe, which is the actual low point.
The 2nd generation CRV has a similar suspension and drive train. The nominal ground clearance is a bit better, and the gas tank is tucked in closer to the rear wheels. However a number of CRV owners found that when they drove in ruts, the 'skid plate' on the fuel vapor canister behind the fuel tank would drag. If dislodged it could hit a rear half shaft, producing an oil leak in the rear differential etc. No Element owners have reported that problem, either because the Element is not vulnerable in this way, or Element owners are not quite as adventurous.
With experience I've learned to be both more cautious, and to drive in ways that avoids most problems. For example, I try to cross water bars at an angle, trying to keep diagonally opposite tires on the high spot at the same time. I also have keep in mind that it has independent suspension all around, and a stiffer (anti)sway bar in front than in the rear. I try to avoid ruts, sticking to higher ground between and to one side of the ruts. On my last back country drive in British Columbia I stopped several times to move rocks out the road, to avoid scraping them on the rear subframe.
Previously I had an S10 pickup with conventional 4wd. There were times where I had to go into 4H just to compensate for the skittish rear end; the Element's default front wheel drive rarely needs the assistance of the rear wheels. With the S10, I appreciated 4L for it's engine braking on steep hills. The Element lacks that low range engine braking, but it's brakes are much better. Turning radius on the Element is much better, allowing me to turn around on slight widenings of mountain shelf roads.
paulj