Did you ask the client if he intended to rent to his brother (for profit) and keep the property long term for the purpose a rental property then and into the future? Or was something else going on? Bro could have needed a place to stay while client was getting it ready to sell or fix up the place for sale or whatever..... lot's of possible situations that wouldn't necessitate setting the property up as a rental and yeah, 'my bro can cover some expenses "(mortgage and maybe insurance and taxes)" while he's staying there instead of having to rent an apartment (or live with owner.... yada yada.... Just because the last preparer decided to treat this as a rental; put an asset in service, etc. doesn't make him/her/it correct.... find out.  If this or something similar was the situation then I've no problem amending the 17 to show as second home and then, if you're within the time frame and the other rules are satisfied, take the sale home exclusion.