Quote from @Benjamin Ying: @Michael Smythe I'm new here, how do you determine property class if you're looking on Zillow?

Your drive and determination will take you far—keep pushing forward, and success will follow!

Consulting a tax advisor or 1031 Exchange expert is essential to determine if the benefits outweigh the hassle.Taxes Without a 1031: Without the exchange, your parents will owe capital gains taxes.

Of course your specific return requirements will vary, so figure out what the numbers are for your market, analyze them to determine margins and decide if that is an appropriate return for the risk you are taking.

the cash flow really comes after 10 or so years of ownership. 

Lease Terms: Determine a monthly rent payment that covers the HELOC repayment (interest and principal) while providing some positive cash flow for you.                    

A mortgage lender can help determine if refinancing or tapping into equity might allow you to acquire additional properties.Consider a 1031 Exchange: If you're open to selling a current property, a 1031 exchange can defer capital gains taxes while enabling you to upgrade to a larger or more profitable asset.

You can't easily determine whom has paid and who hasn't.  

Take ownership of your mistake and learn to do the proper due diligence recommended above😊

This is the form any lender should use to calculate you income (ignore the branding, it is the same for every lender):   https://www.biggerpockets.com/forums/49/topics/1224525-fha-l...You will see what you can add back from your 1120 based on the % of your ownership.