I’m all for minimizing taxes paid but I have also seen lots of people get themselves all “balled up” in complicated structures that can cause problems down the road.I can tell you as a single man I sold my house in San Carlos CA back in 2014 so I only got $250,000 tax exempt.

You’ve got a doable path here, but a few structuring and documentation details will make all the difference.

If so, what’s the best way to structure the deal?  

It's typically not scalable past 10 properties (or pick a number).Regarding the entity structure, I'll leave that to the attorneys.

I used to know someone who owned a couple care facilities in that area, but they were not the size of a house.Then, would it require remodeling to the point of needing structural changes that would no longer make it a home but rather more like a business structure?

But I am worried about any highly expensive/ not easily fixable foundational/structural issues in such old houses. 

With a background in civil/structural engineering and lots of experience doing manual labor/cosmetic upkeep to properties in high school, I immediately found the BRRRR strategy enticing. 

I’m especially interested in cost structure and responsiveness.Madison, Allied, Dyck O'Neil are some of the better ones. 

-Have higher rates changed how you structure deals or what returns you look for?

For example, if you don't have a fence, shed, or other 'other structure' I would reduce that coverage to the minimum.