3. what type of deposit / reserves can you provide in case the monthly rents you receive do not cover the rent you pay me?

What made you interested in investing in this type of deal?

What made you interested in investing in this type of deal?

Unfortunately with those numbers it's tough to find a non-bank lender/financial institution that will lend.Usually loan minimums are $50K and the up to 75% LTV on purchase-money/70% LTV on cash-out refinancing, which basically means you need up 25-30% depending on the type of financing. 

From my view, neither property type (with the right features) suffers from the same potential downside appraisal risk as converting SFR or duplex.  

The most likely options are exchanging:Life insurance for life insuranceLife insurance for endowmentLife insurance for non-qualified annuityPersonally, I would first determine what type of exchange you want to do. 

And as you already know, buying the home as your primary residence will help you take advantage of the best loan product there is.

I just typed out a response TWICE and both times this site killed my response for one reason or another.

Here is the how I would explain it to a kindergartner:The true power of a 1031 exchange is the ability for an investor to meet their investment objectives without losing equity to taxation.With more money they can buy larger, multiple, or more productive properties.What is the alternative?

FYI--Most condos in Dallas do not allow AirBnB type residency.