I am not in the flipping market but I handle multifamily transactions for buyers and sellers who are very transactional.

Could call the title company or transaction coordinator to validate.   

: A 1031 Exchange can defer a significant amount of capital gains tax, so it’s often worth it for high-value transactions.

Having dual licenses, loan origination and real estate, has got me involved in most parts of the investment transaction.  

I want to make sure they can close these types of transactions and are used to working with real estate investors...

On the other hand, pros include increased cash flow, engineer-based data for the clients CPA, audit protection (with the right firm) and the ability to deflect that recapture fee with a 1031 transaction.

They can bring it to open market and facilitate the transaction. 

The analysis also reports that new multifamily development will “remain near the average recorded over the past five years”.Integra Realty Resources’ 2017 Commercial Real Estate Trends Report ranks Pittsburgh #2 on its Top Markets by Multifamily Transaction Volume Based on YoY Change.Pittsburgh’s rental vacancy rate has declined by 25% over the last five years.Pittsburgh is booming with developments (see reference #6), “there is no better place to be a developer right now than in Pittsburgh.

. $275K acquisition  and you believe a 40 year amortized loan is necessary to make the numbers work, this transaction may have bigger problems.  

I have some of the required funds in a HYSA, but will most likely need to draw from another account and I'm curious which method is the most efficient in terms of taxes/capital gains, penalties, loan repayments, etc.Based on my previous transactions in the market, I estimate ~$45k cash to close: $20k for the down payment, $15k for closing costs and prepaids, and $10k of starting reserves.