So, as long as you move out and rent for a sufficient period of time in order to demonstrate that you did have the intent to hold for rental, it will qualify for 1031 Exchange treatment.

I called a local pest company and bought the treatment package that was two levels above the one they suggested.

Picture above shows it to be almost black from unsigned treatment. 

Now i have never heard that we get special treatment or looked at more highly then other investors but make sure you always mention it!

And there's nobody in Africa who's able to spend enough money to pay for the treatment.  

No effect on taxes at all, unless you elect special tax treatment. 

You will find treatment of "subject-to" will vary, from attorney to attorney.

Properties that are acquired with the intent to rehab and then sell immediately do not qualify for 1031 Exchange treatment. 

The one point that I wanted to make sure was understood is that the improvements, whether paid before, at or after closing must be paid under the control of the Qualified Intermediary and the corresponding improvements must be completed before you take title to the property in order to be counted as "real property" for like-kind property requirements and qualify for tax-deferred exchange treatment. 

By default, an LLC has the same tax treatment as a S Corp. so no election is necessary.