The IRS has a guide on rental income and deductions that might help: IRS Rental Property Tax Guide.2.

Look for areas with stronger rental demand, lower property taxes, and minimal HOA fees to keep expenses down.

Sure you’ll be taxed on it.

I see it as a tax-benefit discussion with the seller.

Assuming when you say "$3900/mo in rental income" you mean cash flow.That means it will take you about 13 years of rental income to equal the $500k in equity you have now. 

LOL - Well real estate was and is my BUSINESS - My ex didn't want the ups and downs of the entrepreneurial life, she wanted a husband with a steady reliable income, even if that income is significantly less.  

Since you said you don’t really need the cashflow because you are sitting on huge reserves do the math based on income instead of cashflow.

Unless there is a reason to submit your tax returns, you could go w2-only. 

I've also avoided paying Capital Gains Tax on selling my crypto. 

My only add is to the replace your wife's income part.