Since you have lived in the property for two out of the previous five years you could take the first $500k of the gain tax free (as a married couple).

That said, check with a CPA if you can use expenses from the remodel to offset some of the gains.

There are however, compelling reasons why AI can be valuable in this field. 1.

That means either you won't cash flow or your Return on Equity (ROE) will be terrible.Since this is your primary residence you'll be exempted from paying capital gains taxes when you sell.If you sell to your parents, it will be considered a non-arms length transaction and will get closer scrutiny.

Valuable Network: One of the key benefits of Renatus is access to a network of contacts, which can be crucial for growing your real estate business. 2.

I would use the 150K and be a hard money lender for others you would gain the net working with them and the interest you get back put that towards your business for marketing and growth.

.: So there was a thread that was started a number of days back that is actually gaining quite a bit of attraction.

The other thing is that if the house is really appreciating rapidly, if you lived there 2 years and sell within 5 you get to keep 250k of the capital gains, which probably makes better sense than keeping long term as a rental. 

If you're looking for cities with the greatest potential of appreciation, I also suggest putting Columbus, Ohio, on your list, as there's a ton of growth happening in the city.No matter where you chose to invest, it will be crucial to work with an investor friendly agent so you're able to gain the right insight on the different areas and the risks involved.

@Maria JeanetteTax Advantages: Income and gains grow tax-deferred (or tax-free if using a Roth SDIRA).All Costs Through the IRA: Expenses (repairs, taxes, etc.) must be paid from the IRA, so ensure it’s well-funded.You might also want to consult a CPA or attorney experienced with SDIRAs to ensure compliance with IRS rules and maximize benefits.Best of luck!