@Drake BackmanBigger Pockets is a great place to find a tax strategist specializing in real estate taxation.A good real estate tax strategist can save you thousands of dollars by leveraging entity selection and formation, tax deductions, cost segregations, bonus depreciation and tax planning.I recommend finding a tax  strategist specializing in real estate taxation, business taxation, financial planning and tax planning.Consider working with your tax strategist remotely to expand your options.I would also recommend looking for a tax strategist willing to work with you throughout the year.

Tax-Free Exchanges: While 1031 exchanges aren't available to SDIRAs, the tax deferral within the account means you can sell property and reinvest proceeds into new opportunities without immediate tax consequences.

It is my understanding that the new owner will have the house at the cost basis of my purchase price, for calculating capital gains taxes or depreciation.For gift tax purposes for you - FMV.For capital gain tax purposes for the recipient - your original basis/purchase price 

This is tax free. 

Consult your local CPA to calculate accurately and minimize your tax liability.

So even if the landlord approves an expungement (deletion), the judge is not supposed to delete it unless the eviction was not legitimate at the time it was filed.  

If you think ahead, you can minimize recapture with the right tax planning.So what is recapture?

Update, confirmed with the city and it is legitimate if the property is in the name of the LLC, and the LLC is grandfathered in before restrictions were put into place.

Unlike a foreclosure, a deed in lieu of foreclosure does not extinguish any of the liens and encumbrances affecting the property.Most courts recognize the execution of a deed in lieu of foreclosure in a transaction subsequent to the original mortgage transaction as a legitimate alternative to foreclosure proceedings.

I am looking to purchase real estate for both investment purpose as well as to offset as much tax liability as possible.