so think about excluding tudor homes if the subject is a craftsman.After all that you should be left with just a few very good comparables. 

Dwelling/Fire policies in the wind zone may exclude wind coverage so you would purchase a sepparate policy.You should carefully review the Bylaws and Declarations of the Association. 

Maybe the 1008 square feet excludes the basement square footage? 

@Matthew PhamYou may want to consider selling it as you may be able to exclude the gain.

You won't find this out unless your agent is asking before you offerWrite in additional terms that you waive your right asking for any repairs, and will only ask for lender specific demands (treat termites, etc.) but will make up for those with buyer to pay seller closing costs to equal that amountOffer to pay for all closing costs (excluding commissions unless you're really motivated to make the deal happen)If you're really daring, you can try these much more aggressive tactics; not for the faint of heart or inexperienced. 

You put $550k in (excluding financing and other costs for simplicity) and got $550k out (assuming you sold the property at $550k).Let's use a different example where we can see the real 'magic' of Infinite Return and the BRRRR strategy at play.This example will be one where you find a severely undervalued property and do some work that adds some, but not a ton of value to the property.Example:As-is value of the property: $200kPurchase price: $120kRehab: $50kARV: $270kInitial hard money loan at 85% LTC, or $144,500'Cash-out refinance' at 70% LTV, or $189,000Okay, let's break all of this down, as the "cash-out refinance" is really where the magic happens.

@Paul Ricci JrYou won't be able to exclude the full amount of gain since it was a duplex and you lived in 1/2.

If they paid late somewhere along the way and are caught up I would not exclude them. 

@Dave Poeppelmeier I don't think there is any list of what items are included, but they have a list of excluded items.

Is there an opportunity for your parents to exclude a gain if they sold it due to 121 exclusion.Be mindful that if the property is transferred, you take over the transferred basis.