Account holders can't take any write-offs personally for investments made in the 401k.

(This is what we do, no upkeep,  and we love the 10% down, plus cash flow, principal deduction and tax write offs) Some of our investors use their SDIRA or 401(k) or pension to do this.4.

Please use an attorney to write these documents - this is the equivalent of going to see a dentist in the van down by the river - it's great until something goes wrong and then you could be completely screwed 

You might consider: Consulting a Real Estate Attorney – Your emails may possibly prove misrepresentation.Requesting Public Records – A FOIA request might reveal why the city denied you but later approved the duplex.Escalating to City Officials – Bringing this to local officials could expose inconsistencies.Exploring Tax Write-Offs – A CPA might help offset your financial loss, if it is possible.I’d definitely seek legal advice.

And if you can sell a property that had say a $100K basis and buy a property for $200K then you've doubled your basis and your write off. 

You really need to talk to a tax advisor in this situation.

The building value of the rental is written off across 27.5 years.

The US Tax code is too much knowledge for anyone to digest completely. 

The single biggest advantage of selling your homestead is that you can take all the Cap gain tax free if you have lived in the home as your homestead for 2 of the last 5 years. 

- Renting it Out: The likely rent I'd get in this area will cover half my mortgage payments at the moment- Add Square Footage: Taxes will likely go up significantly- Build an ADU: Overall ROI will likely not offset much since it'll still be counted as value tied to the one house- Selling Off Land: Sits on .5 acre that I might be able to sell.