So people argue a) whether it is actually required and b) what are the consequences if you do not file. 

While gifts exceeding $18K per year (2024) require filing Form 709, they don't create an immediate tax, but the IRS may scrutinize this as tax avoidance.Tax-Saving Alternatives:Prorated Section 121 Exclusion – If you lived in the home part-time, you may qualify for partial tax exemption.1031 Exchange – If your share was an investment property, reinvesting the proceeds defers capital gains.Installment Sale – Spreading payments over time may reduce your tax bracket.Adjusted Basis Review – Factor in capital improvements and selling costs to lower taxable gains.This post does not create a CPA-Client relationship.

In this case, correct, 1031 exchange is not available. 1031 exchange is property for property, and an interest in a partnership normally is not (with a few rare exceptions, so you may want someone knowledgeable to give you a second opinion for your particular situation, which requires reading your inheritance documents.)Whether or not you have any mitigation strategies totally depends on your specific situation and requires a one-on-one. 

Maybe I could leverage my other business but I don’t know the requirements for that as we do have outstanding loans already 

@Doug Smith Yes, I put 25% down on my last investment which is what was required by my lender, whom I like.

Some lenders may limit commissions or require specific terms.

Lastly, land development requires solid planning and capital, so getting the right development loan with flexible terms will be vital for success.

Maintenance can also be a factor—while newer homes may require minimal upkeep, older units might need more frequent repairs, particularly for things like plumbing or HVAC systems.Some things to pay close attention to:Zoning and Permits: Check local zoning laws and permit requirements to ensure you’re allowed to place a mobile home on your land and rent it out.

I too have never heard of a requirement that a closet needs to be present to be called a bedroom, it is too funny.

I'm now aware of any "lifetime" limits for FHA loans, but you're required to live in the property for at least 1 year after the loan starts.