He testified that he used his personal bedroom exclusively forbusiness purposes but later testified that he slept and ate in his bedroom.

That sale should qualify for the $500,000 sale of personal residence exemption for tax purposes.

The IRS views it as taxable income because it’s not being used for the purpose of deferring taxes under the 1031 rules.For example, if you sell a property and only use part of the proceeds for the next investment, the leftover amount (after paying transaction costs, etc.) is taxed.

@William J Anderson with anything, you'll probably want a summary/overview report and then another for a deep dive as needed.You'll want the summary report to be your go-to, preferrably showing month-by-month for comparison purposes. 

We are both nurse and plan to travel for a good portion of this time, so 'living' in the small 1br or studio apartment for residence purposes will not be a major issue for us since we will rarely be there.

Property TypeUnderstand the different types of multifamily properties:High-Rise: 9+ floors with an elevator, often urban.Mid-Rise: Smaller than high-rise, usually with elevators.Garden-Style: Low-rise apartments in suburban or rural settings.Walk-Up: 4–6 stories without elevators.Manufactured Housing Communities: Mobile home parks where land is leased to homeowners.Special-Purpose Housing:Student Housing: Designed for college students.Senior Housing: Dedicated to older adults.Subsidized Housing: Affordable housing supported by rent and income restrictions.3.

Our lender has informed us that we need 12 months of rental history to use the actual rent for financing purposes, or we must rely on the appraiser's fair market short term rental value.

Getting right to the purpose of my post, with all the relevant context: I’m 52 and living near Seattle.

The expansion of ADUs hence serves a dual purpose, simultaneously addressing housing affordability concerns and nurturing the urban economic vitality.As far as sewer and water, they would be pulled off the main in the back of the property.

But when it's equity gains, no tax, only at time of sale and if you 1031 Uncle Sam let's you continue to use that tax-$ for investing purposes.