While this may exempt it from being classified as a rental activity, active participation remains a requirement, necessitating compliance with three tests: spending 500 hours on the property, dedicating at least 100 hours (and more than any other participant), and performing all the necessary work needed.Additionally, long-term viability and consideration of depreciation recapture are important concerns.

Will real estate always remain this desirable, or will the supply/demand picture shift? 

It'll be more recent in your memory, so push through the remaining units.

A brokerage's focus, is on the revolving door, putting butt's in seat's and milking the averages because we know 80% will immediately wash-out, of the remained 80% will do little for next few years before also washing out and make us some $, and what's left is our pay-checks. 

Be proactive, stay disciplined & remain focused over long term investments towards wealth creation as well as financial independence.Good luck!

Then instead of paying capital gains tax on the remaining 100k, I'd roll it into a CRT in order to defer taxes.

After that, I would do the remaining repairs.

It's a strict 2-year requirement.As for strategies to avoid capital gains on the sale, if your client doesn't meet the ownership and use requirements for the Section 121 exclusion, they might explore other options such as:1031 Exchange: If the property is an investment property rather than a primary residence, your client could consider a 1031 exchange to defer capital gains tax by reinvesting the proceeds into another investment property.Installment Sale: If your client is willing to accept payments over time, they could consider structuring the sale as an installment sale, spreading the recognition of the gain over multiple tax years.Charitable Remainder Trust: If your client is charitably inclined, they could contribute the property to a charitable remainder trust, receive income from the trust for a certain period, and then have the remaining trust assets pass to charity upon their death, potentially reducing or eliminating capital gains tax.These are just a few options, and your client's specific financial situation and goals would need to be considered in determining the best approach.

While the housing market may experience short-term fluctuations, I remain bullish on real estate in the long term, especially in markets with strong fundamentals and growth potential.

At this point with very little credit history, so long as you can remain responsible with the cards, applying for them is pretty good.