Hi @Mary Chen, If we are utilizing a 1031 exchange on the sale of this property the expenses you incur for repairs wouldn't necessarily fully translate to cash in hand at closing without potential tax burdens.

1031 exchanges are good for level up - income, age, location, appreciation. if you like what you have, keep them, if not sell them.

It's turned out to be quite a good deal for us both, as they are paying all utilities, some maintenance, and have even contributed to some cap ex in exchange for a multi-year lease. 

I have considered 1031 exchanging, but as our buildings cash flow and are appreciating well so I have not seen much value in doing so.Thanks in advance for any insight and advice.

Unless you're in a place to do a 1031 exchange (which can have higher transaction costs, depending on the situation), there likely is a significant amount of capital gains to pay upon sale of a property for reinvesting, or if investing in alternate markets like stocks, bonds, CDs, etc. 

1031 exchange ALL DAY!

We close July 9 on the duplex, and looking to roll the 1031 exchange ... 

Memphis, TN is on the other hand is very unfriendly to landlords, lots of crime (I've been personally robbed there haha), and lots of gangs and drug use.

If the goal is increased equity and wealth then upgrade properties judiciously and increase rents or trade up using real estate exchanges.  

The property itself is worth about 130K -140K currently so I will be 1031 exchanging next year when rates come down to a newer property.