Assets identified in this study include:Building systems: water heater, electrical distribution, HVAC, plumbinPermanent Fixtures: windows, doors, bathroom fixturesStructural Components: Roof construction, drywall, wood framingInterior Construction: Wood flooring, stairs, ceramic tileThis engineering-based cost segregation study included the following methodology:Physical Inspection through a site visitDocumentation review including architectural plans, accounting records and construction documentsA cost analysis which utilizes engineering principles in order to allocate costs to their applicable asset classificationsCalculation of the depreciation schedule using MACRSAs a reminder, bonus depreciation started to phase out in 2023.

I agree with your buying advice and those principles are still true today. 

Use the profit ONLY to pay off debt, and keep investing the principle. 

@Drago Stanimirovic thank you, and you are right I will probably do cost segregation studies at some point, but so far I have still been able to get to a loss on my taxes using the straight line 27.5 year depreciation schedules, I will probably do the cost segregation studies once I can't show a loss anymore, which will happen at some point as the rents increase and the amortization schedules shift to more principle and less interest.

And finally they want success in real estate investing skipping the necessary years of experience, capital accumulation and mastering  lessons regarding real estate principles, law, and finance, by paying a “mentor” (guru) for a 3 day workshop and continual “mentoring”.  

Basically back to square one after spending thousands on this shiny object.

Verification of income the property generatesi'm probably missing something with regards to due diligence, but once that is complete and you have an agreement in principle on the seller financing terms have an attorney review before signing on the dottled line

While not in TN specifically, I have assisted clients do as you have described: live in a property as a principal residence for 2 years, rent it out for 3 years, then sell.Based on the situation described, you would appear to be eligible for the MFJ joint exclusion on principle residence on your 90% share.However, in order to retain that ability, the house will very likely need to be sold (ie, sale closed, not just under contract) by the end of this month. 

Most importantly you need to think about not just what your options are, but what your objectives are and let your end goals help you decide. 

I agree with all above- get verifiable, objective information.