You can indefinitely defer the tax and use it to purchase nicer property/properties, as well as not have to recapture any depreciation.

[agreement] shall be for an indefinite term, subject to termination by the Owner.

This strategy can be a game-changer for building long-term wealth, as it enables you to leverage your gains without an immediate tax hit.Example: Sell a rental property for $300,000, reinvest in a new property of equal or greater value, and defer capital gains taxes indefinitely.5.

The 1031 exchange will indefinitely defer all tax on profit and all depreciation recapture.

It is not your responsibility to house this person's items indefinitely in your rental. 

At the time of purchase, I knew I might not want to stay indefinitely and at some point to might convert the home to a rental property.

This means you can sell, lease, or pass on the property as you see fit, just like any other property owner.Full Ownership RightsYou have the same rights as a Mexican property owner, including the ability to sell, lease, transfer, or mortgage the propertyLegal SecurityThe Bank Trust is a well-established legal mechanism in Mexico, ensuring your investment is secure and protected under Mexican law.Renewable TermsThe trust is set up for 50 years and can be renewed indefinitely, allowing you and future generations to maintain control over the property.Estate PlanningThe trust makes it easier to pass the property on to heirs, simplifying the inheritance process and reducing potential legal complications.Although the process might initially seem complex, it is entirely managed and supervised by a reputable banking entity.

If you decide to sell and find an investment property with a greater cash flow potential.A 1031 exchange would allow you to indefinitely all of the tax and use it to your advantage to reinvest into larger nicer property/properties.

Looks like there has been another indefinite stay of the filing requirement as of Dec 27. 

Obviously if I held all these properties long term I could continue to 1031 from property to property and indefinitely defer long term capital gains.