Questions regarding 1031 Exchanges

[Patrick Orah]

Hello BP community,

I am in the process of selling one of my properties (single family rental), but I am having a hard time finding another property to invest in, hence my need for advice with the 1031 exchange. 

My first question is basic - does the custodian facilitating the 1031 exchange need to be in the same state of the sale/purchase of the property?

Can anyone advice on the 1031 exchange process, specifically with how it works and what to expect?

Also, is there a good or bad scenario where the 1031 exchange should or should not be used? The reason for this question is, when I discussed the sale of my property with my tax person, I was informed that the base value of my property (from a tax perspective) is $245K (original purchase of $285K 17 years ago). Therefore, the sale price minus the base value, minus the sales expenses, minus other deductions determined that I would owe around $15K in federal taxes for the sale of my property. So, I wonder, is $15K worth going through the 1031 exchange process especially since I have not identified a new property. Especially sin the new potential property would be at a higher cost basis at the top of the market. 

Additional questions:
What happens if I cannot execute on either identifying and/or closing on a new property within the time required by the 1031 exchange? Will my money be returned to me and then I will be subject to the tax?

Is it required to have the 1031 exchange set up a certain amount of time before the sale of the property?

Can the 1031 exchange be used to purchase multiple smaller properties that equal to a greater value of the property that I am selling?

Can the 1031 exchange be used to buy into a real estate investment group to buy multifamily properties?

Thanks in advance for your responses. 

Patrick