Interested in finding out if anyone has had general homestead exemptions and or senior citizen homestead freezes applied to their property taxes for a family member that rents a SFR from them in Illinois.

If you own less than 4 units you are exempt from some of the fair housing laws.

@Jordan Northrup, Sorry to say but securities are specifically exempted from 1031 treatment.  

Being that we're in WA you'll want to look at excise exemptions if you go that route.For your partnership question: I've seen money partners get a certain percentage on the equity side (whatever is negotiated) plus a guaranteed rate of return for their invested capital.

Here are some additional benefits it has over SD IRA:Great tax-shelter: contribution limits nearly 10 times higher than an IRA (up to $60K/yr)Exempt from UBIT on leveraged real estateGreater protection from creditors Ability to invest tax-free using Roth (post-tax) component Lower cost since there are no custodian, asset-based or transaction feesand more!!

For instance, if an investor has non-retirement funds to invest as well as self-directed IRA or 401k funds to invest and likes direct ownership of real estate as well as funding loans, they might choose to invest into real estate notes with the tax exempt structure and invest into actual real estate outside of the tax-favored vehicle.

@Carlos Rodrigues If you paid cash I would look into the delayed financing exemption.  

Most likely your father would not owe any gift tax, assuming he hasn't used his lifetime exemption (indexed for inflation, currently around 5.5 million).

Account Closed if the sponsor is using The Reg D rule 506 b exemption they can accept Sophisticated investors.

Plus, if you live in one of the units for 2 years, cap gains up to $250k are tax exempt and for us active duty folks, you can "pause" the 2 out of 5 year rule for up to 10 years, which can be huge.