Moving to TN when you have rentals in WA

[Jack B.]

I have a portfolio of rentals I could retire off. I would be retiring from my professional career, but want to move out of WA to a place like TN. Therein lies the problem. I'm burned out and would LIKE to retire next year at 40 years old, but I'm faced with a choice: sell and 1031 exchange the rentals to TN rentals which would require me to keep working for a while longer, maybe 2 to 3 years (they are mortgaged, some are recent purchases, others I refinanced recently so I need to let them fatten up before selling due to transaction costs, plus I expect to try TN for a year first to make sure I like it before selling my rentals in WA and moving them to TN. As such, I need to keep W2 income for a while or go with non traditional lenders). 

This plan would require me to keep working since my rentals are mortgaged for tax advantages and I need W2 income in MOST cases unless going with non traditional lenders for loans when I 1031 exchange into new rentals from WA to TN (you have to replace the debt, but if you have no debt you can just buy cash with no loans).With occupied rentals, there is minimal management required, so it won't be an issue for a year or so of trying out TN to have my rentals here still. Property management is overpriced and eats into a significant amount of cash flow for little work.

So I'm wondering, are there other options?

-Do I just leave the rentals in this high appreciation market and fly back and forth when I have vacancy, live out of the vacant rental until I can rent it out again?

-Do I pay off the rentals, take lesser ROI/appreciation but higher cash flow and enjoy greater financial security but at the expense of more exposure to lawsuits?-Do I just move to Idaho instead which is within driving distance (day trip) for managing the rentals?

-Do I just pay some friend or contractor (not a property manager, too expensive for the little work they do) when I need someone to go do something on a rental?

Right now 99% of the time I hire a contractor to do work on rentals. When the unit is occupied, I can just have the tenant let them in. But when there is turnover and repairs are needed, I'm currently required to go and deal with the access, bidding, and oversight of the work. I have a friend here I could pay to do this work for the time being, but he is not so on the ball as far as managing things (his life is a bit of a mess) but he is available to do it.

Are there options I'm not considering?