Hello Community--As we roll towards the end of 2024, I would love your insight on the coming Spring market. 

You only roll over the 2mm, take a 500k cash out and then claim the 500k sec 121 exemption.You can think of it like taking the 500k off the top, then the remainder functions as a normal 1031 exchange would.

It's a declining biz model.....the city is trying to crack down on them, and insurance co.s are pushing back on the testing charges (which is where the profit is).

The notice of sale must include an executed duplicate original of the third-party purchase agreement and make available specific details about the property including the most recent rent roll, list of vacant apartments, income and expense report for the 12 month prior to the notice and any other information the Housing Commissioner may specify by rule.Tenants’ first right to purchase the building before a third-party (‘Right of First Refusal’)Tenants in buildings with five or more dwelling units have a period of 90 days from receipt of ‘notice to sell’ to form a union to exercise their “right of first refusal.”

But like I said we want a specific neighborhood so since nothing has been on-market there we decided to try to and test our luck.  

@Jacob CampbellMy understanding is you cannot sell your relinquished property and roll over proceeds into a property you own to payoff debt. 

When March rolls around, I'd send a notice out indicating that to preserve their current rental cost, they would have to sign/renew their lease for the next school year prior to a specific deadline (like April 1).

The real test will be when a tenant has an emergency. 

If you don't have a point of contact at PadSplit, I'd be happy to connect you with one so you can get the ball rolling ASAP. 

Funny how, as the years roll by, there’s been a major shift in my approach.