Then at the closing the tax free cash from the primary residence allocation goes to you and the remaining proceeds go into your 1031 exchange.There is no fixed formula other than that it must be rational and make sense.  

posters are spewing political opinions disguised as rational economic discourse.  

In a rational market, the value is the last purchase price.Here in Calif, by law the purchase price is the appraisal value, but the tax rate on that value changes.When buying insurance, I always get the Guaranteed Replacement Value, which will track the appreciated value of the property.

I believe you will have to qualify for the new higher loan amount.This loan and a refinance does affect your buying power it is referred to debt to income ration which financial institutions consider when giving out loans.  

An expense ration of under 20% (12/62) is virtually unheard of even for new construction.- I do not see any expenses for property taxes listed.- Again, because the time period of the expenses is unclear the insurance is suspect. $4,760 / 24 is a bit less then $200 per unit.

From an investors perspective, this isn't a rational decision.  

But tenants can cause a tremendous amount of loss to a landlord in this state.I'd guess that South Dakota, and for that matter, most states are a lot more rational.

Need more details -- I could only rationalize $300 if the pipes needed to be snaked all the way to the sewer lines because of roots and other obstructions.

I encourage you to obviously remain calm and rational throughout the entire process.

Explaining to yourself why you should deviate from your metric, or why this time is different, is nothing more than providing yourself with rationalizations why you should make this bet, because you've convinced yourself that the market will keep going up, even though the numbers are telling you the deal doesn't make sense on a cash flow basis.