They regurgitate what they heard or read, often from unverified sources, and always distorted by their personal interpretations.

However, the exact determination may depend on the specific circumstances and the interpretation of California tax laws.

It doesn't matter what your interpretation of the purpose of the arms length affidavit is.  

It is hard to interpret laws and statutes correctly sometimes even when you are an attorney.I will site that the Statute 83.49 (2) does mention the exception 5 individual dwelling units.The course manual contradicts itself when I interpret "5 individual dwelling units And are not using the services of a Real Estate Broker"  If you look at the Nolo (written by lawyers) website "Florida Security Deposit Limits and Deadlines" they mention the notice of "the name of the depository" "interest or non interest bearing account" and "Interest Rate" and providing a copy of the statute 83.49 (3).Additionally in the book from attorney "Mark Warda" "Florida Landlords' Rights and Strategies" there is mention of keeping the money in a separate account.If the lawyers advise that it should be in a separate bank account, Do you want to pay the attorney's fee to find out your wrong?

You may be able to transfer it to a Single-Member LLC (SMLLC) without affecting your eligibility for the Section 121 exclusion, but you should consult a tax advisor to ensure you structure it correctly.Community Property Trust Act: This act may have implications for married couples in community property states, like Kentucky, but it's relatively new, and the interpretation and application of the law may not be fully established yet.

These rules may limit the amount of losses you can claim in a given year.Consult with a CPA or Tax Professional: Tax laws and their interpretation can be complex, and they can change over time.

Question #2: I've been having difficulty interpreting whether some of the listings are just a single unit of a multi-unit property that's for sale or for the whole property.Here's an example:Dallas Duplex ListingIt shows that the unit count is 2, but the images and pricing lead me to think that it's only for one unit.  

I'm realizing that are loads of data and an infinite way to interpret them, but at some point I need to take action.  

The rules regarding flippers and rehabbers have not been interpreted yet to be definitive as far as I know.

The proposed HUD Rules interpreting the federal SAFE mortgage act can be viewed at www.regulations.gov Use the search parameter "HUD" and the keyword "safe".