In all honesty, I find it quite nerve-wracking to take this first step alone and all really I’m looking for is reassurance that my actions are correct.A little about me: I’m a medical scientist ready to pivot into real estate.

If you have a 4 plex and live in one unit, you are exempt from some of the laws.

Plus you get medical insurance, vacation etc.I have to have a lot of cash on hand to flip, last year I dropped $70k on out of coverage surgery.

There is one major medical center in town. 

For some units in my neighborhood, assessments are low (no extra exemptions) ... and it's rather strange seeing randomness in these assessments.

The seller is a veteran and qualifies for a full property tax exemption.

Quote from @Billy Farley: My wife and I currently own 3 doors and moved to a new larger city in hopes to come continue our real estate investing journey.Over the past year we have dealt with death in the family, 3 totaled cars, medical bills, moving expense, job change.

The IRS section 121 allows you to move out and rent your house for Up To 3 years, After you have lived in it for at least 2 years (hence the “2 out of the last 5 years) and be exempt from any capital gains tax.  

While this may exempt it from being classified as a rental activity, active participation remains a requirement, necessitating compliance with three tests: spending 500 hours on the property, dedicating at least 100 hours (and more than any other participant), and performing all the necessary work needed.Additionally, long-term viability and consideration of depreciation recapture are important concerns.

Can you claim the Section 121 exemption on any gains?