1031 Replacment Property: Help Me Understand My Options

[Noah Lomax]

Hi BP Experts!

I recently sold a home in California for $855k, rolling $236k into a 1031 Exchange. I bought a prelacement SFR for $555K, with ~$140k. This leaves me with ~$94k in the account and the need to purchase a property that is worth roughly $300k.

I just found a great property in foreclosure for ~$250k. It needs a complete kitchen reno, both bathrooms replaced, a one new wall, and new flooring throughout. My questions: 

-Do I have to find a 100% match on 1031 or only 95%? Because I'd be in a good position if it's only 95%

-Is the remaining value determined on the purchase price or the appraisal price (It will likely appraise closer to $300k)?

-Do I have any option where I could pay a higher selling price and get a credit directly paid to a contractor for some of the construction? (i.e. there's some damage that will be called out by the inspector)

Thank you for your help!

Noah

New-er Investor

San Diego/Chicago