The rules set out in the statute must be followed to the letter.

I can't for the life of me figure out the 50% rule if the payment includes PITI.I'm either looking at a profit of $290.00 per month or more if I did this correctly.

Screen what you go after...Quality not Quantity.Not sure if this helps, there are rule of thumbs, tricks of the trade, experience, intuition, etc...

You should also check your HOA rules.

-Steven the Tax GuyYour guide to IRS laws, rules and regulations.

The 1 year owner occupancy rule is based on intent.

It's not excluding children, it's limiting the number of occupants given the available living space, which is deemed necessary for the health and well-being of the inhabitants.Of course, this is a general rule.

IOW, the much beloved 50% rule.

In particular, note the 50% rule.

And a bid of $1500 definitely merits getting other bids.Mike Welch hints at the 50% rule.