Jeff,The tax law on 1031 property converted to a primary residence changed a few years ago.You can still convert the property acquired in a 1031 exchange to your principal residence after at least a year of investment use to establish the exchange, but (here is where the rules have changed) you are not eligible for the Sec 121 capital gains exclusion until you have both owned the property at least FIVE years and occupied the property as your principal residence at least two years prior to the sale.For the rental property converted to a principal residence, the rules for the capital gains exclusion changed in 2009.

The main reason I leased to these people was because they wanted to buy, but did not have established credit.I'm trying to get out ASAP.

If I establish income upon returning, could I get credit before 2 years provided I buy points and have some reserves?

I'm not ready to act yet, probably within the next 60 days though.I'm an experienced investor, but I have been out of the game since 2008.Are you a wholesaler?

I am new to the game, although I have been doing rehabs for years...just not on my own properties.

Its just part of the game, I guess.Keep in mind there are landlords who are very flexible on their rules.

Is the game of getting good deals in Real Estate just a "good old boys club" as they say?

If a lender offers a deal where the borrower has little skin in the game or just "sweat equity" they are not giving you a loan, they are buying your project which likely you will be removed from shortly.

Tom Hanks "the hard is what makes it great"If I were an aspiring RE investor, new to the game, or just starting out and looking for the right path and info, I would beg, borrow, and borrow some more to get to this event.

I felt pretty much out of the game.