So I'd say as long as the prop has been rented for at least a year, but not MORE than three years (because then you wouldn't have lived in it for 2 years within the past five), then you can qualify for both the Sec 121 exclusion and a 1031 exchange.

I would say a VA loan is not going to pencil out.

White Center has come along way in the past 2 years and I would say as far as home prices go it's still somewhat affordable to purchase a home in.  

Would I go to a PM and see what they say?  As

@Larry Fried it makes no sense to say a BRRRR is more risky than buying a straight turn key property.  

Say a purchase price of $ 300,000 plus $ 30,000 in repairs.  

2) Yes - that's possible but if you're the new owner - you're liable for the house (say a squatter lives there and slipped and fell - you will be the one named on the lawsuit).

Let's say a HML is conservative (and they are) and puts the ARV at 230K.

"The buyers didn't do a home inspection"A judge will usually say a buyer has a "right to their own inquiry" before closing.

When I say a lot of money I mean a lot of money to me because I had to take away from some thing to start my investment career.