I want to have more rental properties in the future and could definitely use that income to help fund those, but with the interest rates being higher, it makes me nervous.

THIS WILL NOT need to be disclosed on any future applications (URLA or Uniform Residential Loan Application) as this is NOT your debt!

If you opened the exchange with the intent to hold the property for investment, and then in the future circumstance changed which caused you to reconsider the use of the replacement property and convert it to personal use, then a period of time less than two years might be reasonable.  

To wit, people might find this thread and exchange for years to come (I am cognizant of that future audience as I write this).

The electrical panel is original, so an upgrade might be needed in the future. 

We are looking to building some fourplexes in the near future in the area - when you say expand your portfolio - what are you looking for ?

Quote from @Rose White: When is the best time to ask your new / possible future tenant for a background check?

But my suggestion for future listings.Look at days on market in the area that you are going to list.

As for foreclosure, yes, the debt might go away, but it would wreck your credit and make it tough to borrow in the future, so that’s not a great fallback.

Taxes on the original gains are deferred until December 31, 2026, and future gains from the OZ property can be tax-free if held for 10+ years.