I would have everything outlined ahead of time in a written contract.

We have her money in a high interest account making almost 5 %, but with the recent string of bank failures, were thinking it's better to go ahead and get that into property instead.

Purchase price: $212,500 Cash invested: $50,000 When we talk about long term rentals the goal is to buy something that people are going to live in 3-5 years with the ability to raise rent over time ahead of insurance, taxes and inflation.

If it were me, I would be focusing on the details of the existing portfolio and not be in a rush to acquire new properties.

HI James, I appreciate option 2 being an option..plenty of examples of investors rushing to use their 1031X and the investment losing more than they 'saved.' 

Purchase price: $215,000 Cash invested: $55,000 When we talk about long term rentals the goal is to buy something that people are going to live in 3-5 years with the ability to raise rent over time ahead of insurance, taxes and inflation.

Just a heads up, if you need to count the rental income from your departing residence to qualify, FHA will not be an option for your new home unless you move over 100 miles away.

Just purely looking at numbers property 2 comes out ahead buy a few hundred bucks a month depending on how high it gets bid up.Any advice on this?

I think this will not be popular with some tenants as they aren't planning that far ahead? 

If I could give you any unsolicited advice I'd say to find someone 3-5 years ahead of you that you'd like to emulate and connect with them the best you can.