I again appreciate all of the feedback and thoughts on this topic. 

Here's another question...the deed has both their names on it.  Both taxpayers are single.  Assuming a gain of $400,000 on the sale, the son can exclude up to $125,000 (1/2 of $250,000), with the remaining $75,000 being a capital gain on the sons return..  My client would have capital gains of $200,000 on the sale.  Is my interpretation correct here?

Or can he take the full $250,000, with my client picking up $150,000 of capital gains on her return?