Despite the equity We also want to take advantage of tax advantages we did stay in the property for 2 years !  

However, purchasing the replacement property from an estate where your mother-in-law is the executor and other heirs are your wife's aunts and cousins raises potential related-party concerns under Section 1031(f).The IRS generally prohibits 1031 exchanges between related parties unless both the buyer and seller hold their respective properties for at least two years after the exchange.To stay compliant and avoid disqualification, ensure:The estate sells the property directly before any distributions to heirs.You hold the replacement property for at least two years.The transaction is conducted at fair market value with no prearranged agreements.Given the IRS scrutiny of related-party 1031 exchanges, consult a qualified CPA or 1031 exchange accommodator to structure the deal properly and avoid potential capital gains tax liabilities.This post does not create a CPA-Client relationship.

Staying ahead of the game by understanding how local regulations align with state bills like SB-9, SB-684, and SB-423 can open doors to exciting development projects.SB-9: Simplifying Lot Splits and Duplex BuildsSB-9 streamlines the process for lot splits and duplex construction, offering a straightforward way to increase property value and expand housing options.SB-684: More Flexibility for Smaller ProjectsFor urban lots under 5 acres, SB-684 makes it easier to pursue smaller housing developments, transforming overlooked properties and vacant lots into productive investments.SB-423: Faster Approvals, Fewer HeadachesNo one likes endless waiting.

So, even when the market is challenging, you can still see properties and stay current.Don't take a break when the rates are high.

Stay striving and continue to stay curious!

However, The requirement for single adu seems seldom enforced on duplex if it stays below 5 units. 

Lots of great info on here as well, and like they're saying the best thing to do is to find an experience broker / realtor who can help you navigate which neighborhoods to target and which ones to stay away from, as well helping you to build out your team for property managers, lenders, inspectors, contractors, ect.

(aka the BRRR method).But, if you stay on the sidelines, acting fearful and not greedy, you will reap the benefits of neither.Again I do think we see an early pullback in 2025, in the first 100 days.

A cheap place to get to and stay, with good weather and plenty to do, especially for spouses/family that may be less interested in real estate. 

This will be the largest bond sale in US history coming up which on top of the debt we are also running as well - if we have so much debt to sell I do not see rates going down, I think they may rise (or stay around where they are at).