You can tell when someone seems a little shady–when it feels like they’re not quite giving you the whole story.If I were considering a business to buy and everything looked fantastic on paper, but I wasn’t getting a good feeling from the seller, I’m not buying that business.Because as someone who has sold a business, I know there are things I could have hidden from my buyer.

Your first step is definitely learning about the markets you are interested in and figuring our what your desired end state / goal is that you are hoping to achieve through real estate.

Cold calling, mailers, signs, google/Facebook, RE meetups, RE agents are all ways a whole sales would find deals

This property is unique in that we can rent out the whole property or we can rent out the property by individual rooms because each room has its own bathroom and it runs as a bed and breakfast.

This strategy would preserve more of your equity and make reinvestment more efficient.You could use the exchange to buy multiple properties in diverse, high-yield markets, achieving your goal of increased cash flow.Reassess the Property’s Cash Flow:Before selling, explore ways to improve the cash flow on your current property.

There are tons of threads here on BiggerPockets where you have a new investor bashing a property manager, seller or turnkey guy and then when the experienced investors chime in it becomes very clear that the new investor wasn't telling the whole story and there typically wasn't any wrongdoing by the property manager, seller, turnkey guy or what have you.

I’d love to hear about your goals and what you’re hoping to achieve here.

JD your one K&T light circuit with an LED light is a much different scenario than a whole house still on K&T.

Additionally, do you have any other ideas or strategies that might help achieve his goals without incurring a tax liability?

Is there a local developer/builder who might be interested in the whole package?