This was my primary residence and I sold the home to a friend at a very low interest rate, but a higher sales price than I would have been able to get with the house all torn up. $220,000 SP, $195,000 initial purchase price, $5,000 down.

They were both live-able and for our primary residences at the time so we used conventional financing.

It would be a deduction from the rental but then you would have to report the income, so its a wash for taxes. 

If you sell without a 1031 it all goes into the wash that is your recognized gain.But if you 1031 and have a sales concession of a $ amount for a roof then that impacts your net sale. 

If their car in a filthy freakin pig pen, it's likely their residence in the same, so..."

Mom was a Resident manager.

As mentioned it can cause parking issues and noise problems for the other residents.

Live in this house for a year or two and then turn this home into a rental, and purchase another primary residence.

I manage Blue Atlas Realty which was created because of pressure from Dfw investor clients that werent happy with current PM. 

They were both live-able and for our primary residences at the time so we used conventional financing.