A lawyer might be able to answer this better, but most rentals fall under fair housing laws (there are exceptions) and that protects against discrimination based on familial status which means children or someone who is pregnant.

Where is the income tax of 49% here?

Good afternoon everyone, I am an Airbnb host in NYC and I am looking to get in touch with a lawyer that works with short term rentals.

So the question becomes based on their individual and personal tax situation what is the estimated tax burden they'd save? 

Being a real estate professional allows you to treat the income as non-passive, allowing higher high income tax payers to pay less in taxes.

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.

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

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

This is tax free. 

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