After that, I think it gets somewhat dicey, but basically foreclosure would be the next process.Yes, simply refinancing the loan by the current owner/buyer would eliminate the issue. 

The period between January 2015 and January 2020 is NON-qualified use, and only PRORATED (aka partial) exemption is available.Again, the intention of this law was specifically to eliminate this loophole: move back (or move there for the first time, same thing) into an appreciated rental property for 2 years and sell it tax-free.

This is one of the reasons why CF is so important...it's how you eliminate the risk. 

That CF coming from your rental reduces/substitutes, or maybe if you have enough CF, can even eliminate the need for your job.Your rental property is like any other business. 

My wife is highly sensitive to mold....so much so that we had to buy new construction to eliminate any exposure to mold 

Start with any of the criteria, then apply all additional criteria, eliminating any that fail any criteria.

I'm thinking that one way to eliminate the problem is to eliminate the original mortgage with a refinance. 

However, the Mobile would have to have it's own parcel, have the wheels removed, be skirted, have elimination of title and be newer than 1976 to even be considered for the same type of loan, otherwise it's considered to be a vehicle and would be like a car loan.

The more than anyone else requirement will eliminate one of you from being able to offset their W-2. 

Quote from @Roger Paschal: Quote from @Stacie Smith Equity Assurance, LLC, offers insurance for the due on sale clause.Thank you Stacie for the plug for Equity Assurance, in over 4 years of offering our services we have never had a foreclosure because of the Due on Sale Clause.Also with almost 20 years of doing Subject 2 deals myself never have I had a bank follow thru with a foreclosure threat, yes they have called and I am sure they will continue to call in the future, that is their job is to make sure all is correct and the investors job to make sure all their ducks are in a row.With Equity Assurance, our goal is to make sure the investor is educated and the seller has all the correct information and disclosure on how this process works.We are now offering some online courses and documents to make sure the Investor is doing this process correctly.We are also slowly changing our name from Equity Assurance to Subject2Institute.com to eliminate some of the confusion, we are not an official Insurance Policy we offer peace of mind for the seller if the investor needs this to make the sale.