For example, installing a new stand-up shower technically requires a permit and "Shower Pan Letter," but most flippers don't bother getting a permit for this if they aren't doing other significant plumbing upgrades. 

It sounds like more of a communication problem than a technical problem.

To statisfy the same taxpayer technicality we opened a single member LLC that is disregarded for tax purposes.

Please do note that this is for an investor looking to "house hack" since it is an FHA program you do technically have to live at the residence for a year, and are able to have only one FHA loan at a time. 

Lending is very active, it neither creates a residual income, nor allows you to use leverage and you technically don't own a depreciable asset that appreciates in value down the road.

You could call a month-to-month lease technically. 

The only difference is technicalities and taxes, so don't worry about it... focus on what's directly in front of you first-- get the deal, make it happen!   

One house out from "technically" being Little Flower, but it is close enough to still have a good amount of value for us.

The format wont allow me to adjust it to technically having nothing out of pocket, so I added the extra $70/month (which is essentially financing the 15k down) to 'extra expenses'.. 

@Alan HicksIt's not a rental property, so you can't do a 1031.You haven't been living in the house for the last 5 years, so technically you won't have the capital gains exemption.You should speak with your tax professional before doing anything.