I'm currently in a 1031 exchange.

Otherwise you can simply state that his daughter is an adult and he has no legal right to interfere as the contract does not involve him if he tries to challenge you.It's easy to get wrapped up in the personal side of this exchange, but don't let that change your approach.

However, I knew that was happening well ahead of time and agreed to it, in exchange for not paying the seller back the pro-rated property taxes. 

Not saying that will happen, but its easier to be right on the front end.Also, if you're flipping frequently, I highly recommend discussing the rules of a 1031 exchange and this can be a great tool to deferring taxes on gains associated to real estate.While I do go on record that I am a CPA, I do not specialize in real estate tax transactions as my background is audit (not tax), it's important you speak with a real estate tax accountant to ensure your best interest are met.I hope this was helpful, there are plenty more GL accounts to include and PM me if you have more questions.

I can 10-31 exchange them for more properties thanks to the appreciation though, so that's a plus.I have all my money in real estate at this point, roughly 500K.

@Brian Gawronski please feel free to message me and we can exchange emails and contacts.

I have that discussion upfront with the agent who brought me the deal and I offer them the chance to re-list one of my other properties in exchange for bringing me the other deal.- What services do you expect from a listing agent?

Even with a 10-31 exchange you're still paying a lot of your leveraged gains worth in fees. 

If I sell it, I have to do a 1031 exchange to avoid taxes.

They have a foreign exchange guy working for them for a few months.