- Do I qualify for for a section 121 exclusion sense I lived on the property for the first 2 years of ownership?

(This could potentially qualify your distributions as QBI -qualified business income - subject to a 20% deduction under 199A. 

If you intend to occupy this as a primary residence you could "assume" the loan meaning you would personally need to qualify with the existing lender to take on the loan in your own personal name. 3.

Do we need to go through the whole condemnation process to qualify the transaction for a 1033 exchange?

The rent from the other units is used to help you qualify for the loan as well.

Some states (NOT ALL) offer reciprocity for real estate licenses in certain other states, BUT that just means that if you have a license in one state that you can use that to qualify for a license in other states that offer that reciprocity.

Offering the property on a lease-to-own basis might attract buyers who can’t immediately qualify for a mortgage.

We managed to navigate it, but it was a lesson in the importance of understanding both federal and state regulations.Given your location in Boston, Massachusetts, it's especially pertinent to consult with a qualified intermediary or tax professional familiar with both federal and Massachusetts state laws to ensure a smooth exchange process.

Just be cautious of DTI (debt-to-income) ratios when qualifying for additional loans if you’re relying on projected STR income—most lenders require at least 12 months of rental history.

The structure for this is a discounted sale, lease back, buy back.One of the partners is a qualified intermediary as well that understands the plumbing behind it to make it 1031 compliant.If you have any questions on that - feel free to give me a buzz.