Additionally, we repainted the interior of the house, giving it a fresh, modern look.

From a sales perspective, if you're married ($500k) or if single ($250k), you'd have a portion of the exclusion (%50) assuming the square footage is the same for each unit (assuming a duplex)The remainder (%50) could be 1031 exchanged into another property tax deferred. 

If you feel your CPA may not be fully up to date on certain aspects of your particular tax situation, especially with multi-state holdings, consulting another professional can offer fresh insights or alternative strategies.

I'm also curious on this topic, less from a home value perspective and more from a STR or MTR strategy.  

Also, a freshly cleaned and nice-smelling home makes a great first impression!

I have three STR properties that my wife and I have self-managed but from a tax perspective we've only taken the normal depreciation the last few tax years.

Covid emergency has officially ended but for some reason there is more applicants with bad rental histories that are begging for fresh start.

I don't know Fremont specifically that well, and local market drivers could change my perspective, but looking at the 3 year trend on sale price I think you'd do well to hold 6-24 months if at all possible.

There is so much for me to consider so I am grateful for your perspective! 

I don't know the exact location of the property, but from my perspective a lot of former drive throughs are being replaced or no longer used, especially at former bank properties.