You get to prorate the gain between periods of qualified use (as your primary residence - tax free) and non-qualified use (as a rental - capital gains tax)It's an absolute elegant strategy.  1031 for years, then move in and finally sell and still get part of the gain tax free.

We have a fairly large home 3,600 square feet and before we remodeled our main kitchen we added a kitchen in our basement so we already have a kitchen (minus a stove & DW), a full bathroom and a large finished space that could be a nice sized living / dining room.

Purchase price: $118,000 Cash invested: $42,000 Suite offer 705 square feet of living and dining space.

The main dining room has a greenhouse-window outcropping overlooking the lake.

The apartment is relatively small (700 - 750 square feet), with 1 BR, 1 - 3/4 bath, a full kitchen, an area for dining and a decent size living area plus plenty of storage so I think it would be great for a long-term renter, but it would also suit someone for the short-term as well (See snapshot below for a layout). 

Old Town Scottsdale, within 10 minutes of Irvine Park, offers unbeatable livability with abundant recreation, retail dining and nightlife.

Open airy living w original built ins, lrg dining rm w picture window & open kitchen featuring all new shaker cabinets, quartz counters, SS appliances. 2 spacious BRs w tall ceilings flooded w natural light.

Purchase price: $380,000 Cash invested: $102,000 Sale price: $650,000 Contributors: Garrett Quinn, Megan Halter Charming bungalow steps away from all Old Town Mukilteo has to offer- Ferries, mountain & sound views, Light House Park, local dining, boutiques, Mukilteo schools & more.

Luxurious master with walk-in closet, spa-like ensuite bathroom and elegant fireplace.

Elegant updates throughout including a brand new spacious kitchen with shaker cabinets, quartz countertops, ss appliances, and breakfast nook.