Not sure what to do - looking for RE advice

[Michelle Artmeier]

We own a LTR that is valued at about $215K, and we owe around $65K on it at around 4.5% interest rate. The taxes, however, have went up so much that we have to raise our rents to a crazy amount (~$1300) to break even. We are thinking about selling the LTR and doing a 1031 with the proceeds to purchase an STR in the Smoky Mountains. We would probably finance around $400K but at 8%. Would you (a) just keep renting the LTR given the current market; (2) sell the LTR and do the 1031; or (3) something else (maybe wait until interest rates drop) I haven't thought about yet?