However, this approach carries higher risk in a cooling market.

Syndications are simply a business structure where a group of people combine to carry out a business or project.

Your list of questions for the lender is a gold mine! 

We require tenants to carry renters insurance as well. 

You want to stay liquid, although 7.25% rate is higher than i'd like to carry, but with the way things are going right now.

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@Adielle Rivera You should be fine to carry out that situation you mentioned. 

Then, once you have carried that for a certain time period other 'regular' insurers will take you back.  

In addition to appreciation potential, there are a bunch of tax benefits to consider as well... my favorite being that a tax loss can be carried forward to offset future taxable income.

I’ll probably take a bit of a tax hit in order to 1031 without carrying the mortgage across.