If you are still finding that the default wrong Java version (1.7) is being used instead of your Java home directory, then all you need to do is simply change the order of your PATH variable to set JAVA_HOME\bin before your Windows directory in your PATH variable, save it and restart cygwin. Test it out to make sure everything will work fine. It should not have any adverse effect because you want your own Java version to override the default which comes with Windows. Good luck!