You indefinitely defer the tax as long as you own the property (even if you convert it).2.

You can’t use a 1% rule if your property is really old, really new, high insurance, low insurance, high property tax, low property tax, a high HOA, an outdated layout, a bad neighborhood, a dying city or state, a state that hates landlords, has cast iron piping, when comparing states with no income tax to those with high income tax, etc etc etc. 

Yes, you should factor in tax as a monthly expense to understand the true cost of the property each month.

Depending on the state it may not be worth it, and that transfer tax would be ridiculous as well.I would check if you are able to transfer it into a Trust without paying the transfer tax, as the bank/lender won't be able to tell you anything if it's put into a Trust.Another thing is the Trust won't really give you any protection, it'll just give you some anonymity if anything so you don't have your name on the property and you are a little harder to find.

@Maxwell VenturaStates normally don't tax a certain income source twice.

@Jared Prevoston page6, how is whomever avoiding capital gains tax?As

One is estate tax, aka inheritance tax aka death tax: a tax on passing inheritance to the heirs AFTER death.

My son rents a slightly bigger unit in the building for $6,500 and this would allow him to live close to work and save $3,000/month so i co-signed with him and put the downpayment....no gift tax as one poster mentioned,Im more of an investor 2)During the buying process I repeatedly asked about the tenant and was told I couldn't discuss her until the unit was mine but the sellers realtor said obviously if I offered her a little money she would probably accept and move, he mentioned $3K....I ended up offering up to $10k and she said no 3)I have a tax attorney who helps me, I'm a retired trader myself,not a real estate investor and the reason he mentioned her boyfriend not being allowed to pay the lease is because the boyfriend could be a questionable character and receiving checks from him in the event he gets in trouble by the law opens me to a pandora's box of issues for doing business with him.

if not, any advice on how to minimize the capital gain tax as much as possible?

Working with a tax professional to pay as little tax as possible, legally - will help get you a lot further then publicly asking how to not pay tax on money you legally earned.