So,If I understand the mechanics of a 1031 correctly, your basis in the property (due to the carry forward basis in the 1031) is Lower than $170k.You are Liable for depreciation recapture while it was a rental, whether or not you declared the depreciation.Assuming the above is true, you will have taxes due.You definitely pay income tax on any interest received.For the Principal you receive (including the down payment) it will be allocated into three pro data portions of:Return of basis/costs-no taxCap Gain- cap gain taxDepreciation Recapture- ordinary income tax at up to 25%@Ashish Acharya When later converting an investment property, acquired by a 1031, into a primary residence, then selling, give you a partial, Qualified Use pro rata calculation for the 121 exclusion like when you do the same thing with a non 1031 acquired property? 

On Condo 2, the entire gain will not be eligible for the personal residence exclusion. you will have to allocate between qualified and non qualified use to determine what the exclusion is.

@Raphael Collazo, 100% agree with your analysis of the area.It's defiantly important to note the increased risk that an investor will take on when allocating into higher yield area such as west Louisville.For anyone interested I have included resources below:The 1st link below is to an map image showing the change in home values from 2010 to 2018 at the tract level.The 2nd link shows what you had mention regarding yields, it shows the rent to price ratios for the same areas.

If you spent time in social groups where investors had 1MM in resources to allocate, I'm pretty sure you would find a lot less SFR talk. 

I also had some of the utilities moved to accommodate the replatted lot.Anyways, we just sold the lot and the title company asked us % allocation of proceeds from sale to each party. 

Aside from that decide how much time you can allocate to working while in college.

60months remainTotal Debt 31KOption 2I buy a rental through my buddy who does that for a living (turn key rental sales and management)I’m still learning the numbers so I’m sorry I can’t give you a better breakdown but here is what I sort of know:-20K down on a 70K property and 15 yr loan-Will clear about $100 after mortgage, repair cost allocation, & mgmt fee.

and find the lender with the right "skill point" allocation. 

Your capex would be factored into your total cash investment.This will affect your COC return, hopefully in a good wayhey TJ, thats interesting because the reply above states the monthly budgeted allocation would be considered an expense and pull down my NOI.

Is the place older, if so I’d allocate more % to repairs.