But, there are "document sellers" that deliberately understate the compliance requirements.

The following applies for all property, referred to as “covered dwellings” in the Act:“The term ‘‘covered dwelling’’ means a dwelling that is occupied by a tenant— (A) pursuant to a residential lease; or (B) without a lease or with a lease terminable at will under State law.”

@James Santana I am also under state-mandated stay-at-home orders. 

Brokers and sellers tend to understate expenses.

Having the tenants pay for their own heating is understated in regards to NOI calculations.

And, this language allows us to draw the conclusion that each series is disregarded under federal tax law, regardless of treatment under state statute.This should be rather simple to fix. 

I mentor my new investor clients so that they have realistic numbers going into a purchase and aren't relying on wildly understated expense numbers you often see on the MLS.Doing a 1031 Exchange is the best way to re-deploy your equity/appreciation from your former home without giving up 25-30% in taxes and depreciation recapture.

Ah okay I see I understated the capital expenditures.

With obvious capital expenses taken against the prior year's income, M&M grossly understated the NOI.

A few years ago, with the issues of wrongful foreclosures it's been recognized that automatically filing a deed held that had been kept on the side under terms of an agreement violated the buyer's rights to due process under state foreclosure laws.