This is a different perspective...https://moneywise.com/investing/real-estate/charlie-munger-h...

For a property flip, how is the duration of ownership calculated?

The 3 siblings would like to sell the property and walk away but my partner and her sister would like to try to keep the STR in the family and take over ownership from their Aunts and Uncles.

Take ownership of your mistake and learn to do the proper due diligence recommended above😊

For those curious, if this applies to them, just follow these general principals: To qualify for the Section 121 exclusion you must: Must live in the home in the past 2 of the 5 years 24 months non consecutive required Must have owned the home for at least 2 years Only one spouse needs to meet the ownership testBoth spouses need to meet the use test Neither spouse has excluded a gain / used section 121 in the past two years Must file jointly for the 500k exclusion

Me & my sister co-own a duplex and I would like to sell it and put the money toward my primary residence(sole ownership).

For finances, we can stay on the residential side of things with mortgages until 10 mortgages or when it gets challenging with regard to reserves, and then we used commercial mortgages which lenders expect ownership in an entity (go look into entity formation), and from that side of things we need to show income. 

Take ownership of your mistake and learn to do the proper due diligence recommended above😊

I would reccommend protecting yourself in terms of the legality of the transfer, ensuring there aren't any violations, 3rd parties requesting some claim of ownership of the property, most importantly the structural integrity of the property overall is sound and there aren't any big ticket items the current owner should righfully be taking care of that will then be additional issues you inherit. 

If the ownership of this assisted living facility didn't care about the prepayment penalty, and the bank didn't "swipe left" on the property based on things like experience level of the ownership and/or management team, this might be a clear winner.