Main advantage there is we would preserve the low interest rate and remaining mortgage length and would have the LOC for when we need it and not have to pay if we don't need it but would cost more in terms of monthly expenditure when we use it because we would have that payment plus the mortgage.  

to protect before it makes sense to spend that money - compare that with how much you spend in annual insurance for the same property/equity (on the same FEAR principles, just in case your property might burn down).Again, this is a simplified rule of thumb, as there is a lot more to the LLC question - when to do it, how to do it, current mortgage, proper transfer to preserve title insurance chain, DOS, future financing, management, distribution of properties per entity, insurance, partners, etc. - stuff barely touched in current thread.There is no one-size-fits-all - the risk threshold is a subjective measure particular to each individual.

The two main scenarios where the lender would have an incentive to do such would be if and when interest rates rise dramatically or when a lender has purchased the note from the existing note holder at a discount.Back before the due on sale clause became standard, properties where purchased subject to the mortgage, or with a mortgage assumption to (1) preserve a lower than market interest rates when rates rose from 4% to 18% in a matter of 5 years, (2) to purchase a property where the borrower would not qualify for a new loan, (3) to finalize a property transfer faster than if a new loan was obtained and (4) to save the fees involved for loan origination, processing, underwriting, etc.Today, subject to property acquisition works best from a buyer perspective when he is able to buy the property with little or know down payment, so his equity exposure is minimal and he has no liability for note payment.

With this you would get the deferral of the 1031 but also preserve any other opportunity presented by the OZ designation for future development and use.  

I wish I had I known before hand - I would have not asked him to renew - but now it's tricky, and I'm not sure there's anything I can do. ideally I'd like to preserve the two girl roommates and have them find a replacement.

Do I preserve my cash in the bank and get a HELOC or some other type of loan to do the upgrades, or should I use my cash even though I may need some for a new home down payment.   

It’s supposed to look nice, but more importantly preserve the windows.

My goal for this is to eliminate rent, while preserving capital for our next property.

I envision my first purchase would be no more than a four unit dwelling.Because I want to preserve cash for value add improvements and reserves I want leverage financing as much as possible.

Prohibits an RGB from setting longevity rentincreases.Part D: Repeals High Rent Deregulation, which allows units to be removedfrom rent regulation upon vacancy after the rent achieves a high rentthreshold; and Repeals High Income Deregulation provisions, which allowsunits to be removed from rent regulation if a tenant's income is$200,000 or more for two consecutive years.Part E: Sets the Preferential Rent as the base rent for the duration ofa tenancy, but preserves regulatory agreements that allow for legal rentincreases.Part F: Allows HCR or a court of competent jurisdiction to look back at6 years of rent history when determining rent overcharges, or a longerlook back period if it is reasonably necessary to make a determination.Eliminates the ability of an owner to escape punitive damages where theovercharges were willful.Part G: Enacts the "Statewide Tenant Protection Act of 2019" to allowany city, town or village to opt-in to ETPA and provides the appointmentof the members of the new RGBs to be done by the opting-in munici-palities.Part H: Amends the maximum collectable rent increase formula thatapplies to Rent Control units to set annual increase at either an aver-age of the last five years of RGB increases, or 7.5%, whichever is less;and prohibits Fuel Pass-Along charges for rent-controlled tenants.Part I: Reforms the personal use exclusion to limit the number of unitsan owner can take out of rent regulation, and requires the use to be animmediate and compelling necessity for use as a primary residence.Part J: Ensures that units rented by nonprofits to provide housing tohomeless or previously homeless people revert to rent regulation at theend of the use by the nonprofit, and that the previously homeless personor persons are treated as tenants for purposes of the law.Part K: Major Capital Improvement (MCI) & Individual Apartment Improve-ment (IAI) Reforms*Limits approvals to work for essential building functions and otherimprovements (e.g, heat, plumbing, windows, roofing); exclude mainte-nance.