I have been in Real Estate sales since 2003 in both Washington and California. I have been in residential sales up to 2 and 4 plexes and know of a way for folks to not be landlords, make 5-8% on their money and not pay capital gains tax or depreciation recapture. It's better than a 1031 exchange because you can also sell your personal property and be in any part of the country. If you are downsizing from a large family home or tired of being a landlord dealing with evictions, repairs, calls late at night, there is a way out and make 5-8% on your money without paying capital gains taxes. And yes its legal.