1031 Into a Vacation Rental?

[Peter Padalino]

I own a highly appreciated SFR in AZ and am planning on selling once my current tenant's lease expires early next year. My thoughts are to 1031 the gains into a vacation rental (or possibly a full time rental). If I operate the property as a short term, "vrbo" type, I'm guessing that there are specific rules about personal use? And how would that be tracked from an IRS perspective? I'm assuming that if the rental income reported isn't in line with "similar rental properties", I'd potentially be open to audit? Also considering that we are a couple years away from "retiring" to that area, how would the transaction work if we were then to move into the property? Certainly not trying to tug on Superman's cape, but would just like to more fully understand how that all would work. Thanks!