My husband did a reverse 1031 exchange on a property over 20 years ago. 

Can anyone recommend a reputable 1031 Exchange Company?

that I think would need to get involved to make an exchange like this legally binding. 

Hello just wonder has anyone had any experience using Loan Exchange??

Sure, a seller may offer you 5%, but if they're smart they will ask for a higher sales price in exchange for giving you an advantageous loan. 

If this is a long-term rental (LTR) and you make > $150,000 per year you aren’t eligible to offset non-passive income (W-2, 1099, etc.) with losses from your rental - they get carried forward into future years until you can use them OR reduce capital gains on saleThis is called the 1031 Exchange.

I would make the purchase with a 1031 exchange, putting approx. $220,000 down, financing 8% on 20 years, payment of $2,593. 

After expenses, it will be cash flowing 1k/month.My thought of doing a 1031 exchange seems like an option..trade in a 170k house for a few 250k homes and increase my portfolio by 600k.

This is referred to as a "Reverse 1031 Exchange".

As a specialized real estate CPA, I'm here to provide expert guidance on your most complex tax matters, from navigating 1031 exchanges and cost segregation studies to optimizing your rental property deductions and handling multi-entity structures.