I would think with the HELOC, I could run with that until I can do a refi and with the interest rates starting to come down, there should be some gains to be made and I can repay the HELOC in short term. 

Is there any legal action one can take or is it just a lost cause?

What is anticipated legal costs?

Legal RequirementsIndiana landlord-tenant laws are generally landlord-friendly but require you to be diligent.

Some properties actually lose money each month but gain value through appreciation.

The challenges in real estate teach you invaluable lessons that you might not gain otherwise.I also invest in Chicago, so I have a few thoughts in response to the questions you raised.

How does that work when you are not yet the legal owner of the property?

Yes, any cash you take out of a 1031 exchange that isn’t reinvested into a like-kind property is considered “boot” and is subject to capital gains tax.

Hi @Heather Bailey something to consider with this is legal mother/daughter may not mean legal duplex. 

Consider the "2 of the last 5 year rule" to avoid capital gains.