All in all probably lost about $15k but learnt a valuable lesson. 

I would really appreciate any step by step instructions/guidance on this.  

Good afternoon everyone.
Hope you all having a wonderful day. 

I'll give you all a simple explanation and see if I could get some insight from any of you. I'm pretty new regarding this whole world of investing hon...

Can anyone give me some advice/guidance on this stuff and maybe share what you use.

Do you know if the IRS has provided any guidance, or had any rulings, in this regard?

However city is imposing a good amount ofimpact fees based on the bedroom count - which accounts to close to $40 k , which i cannot afford- Ibought the house for myself to reside and cannot afford to pay this.We verified with city prior to buying and theyconfirmed it is residential zoned , however never mentioned about any impactfees.It is residential zone - MLS shows it as 3 bedroom 2baths - it had a extra unit  in the back and also a inbuilt rolling bed on 1st floor for the main I am stuck here- they are asking to prove it was usedas a residential -ever - any guidance would be appreciated on this.

I want to start this thread to get ideas, opinions and valuable tips on how to do it RIGHT.Lately I have been reading on this subject ,extensively , and trying to learn as much as I could.

I often notice similar posts in this forum from new wholesalers seeking guidance.

Your 50% value would need to be equal to or greater than the value of your relinquished properties (same with the debt that was paid off if any) @Dave Foster can provide more guidance. 

And, this should go without saying, but always defer to Fair Housing guidance, ensure you're treating everyone equally, and keep diligent records of all applications for 5 years.