The property that you sell and then purchase through a 1031 Exchange must be held for rental, investment (capital appreciation), or used in a business. 

Check their nightly rate, occupancy and amenities.That will give you a pretty good idea of need and profitability.

I'm not thinking of 'scaling' my business by becoming a 'passive investor' in someone else's business.

Michelle Wang,With all due respect, you should make plans to be in another business once you're out of Real Estate Investing (Residential, Income Property).There are Members of our MassRealEstate dot net Association that come crying to me about similar situations as yours i.e.

I’m brainstorming ideas on how I can market myself to potential mentors in the STR game in order to gain experience.

I asked him a lot of questions about the business and as soon as I got home I was doing research and joining RE forums focused on multi family.

I'm particularly liking the idea of a dulplex, and "House Hacking". 

Would it be a good idea to take a deposit to secure the deal until the rule clears?

What you need to learn in your 20s is how professional business works, how to manage people and projects, how to run an organization and how to sell ideas and concepts.

Quote from @Jokari Trueheart: HI, almost 11 months ago I purchased 3 duplexes and I borrowed the funds from my personal residence which I took out a equity agreement for the down payment on the investment property, great idea at the time because I have 10 years to pay it off and theres no payment requirement, but , I learned more about the consequence that it takes a large chunk of my equity the longer I take to pay it back, so my goal was to refi cash out the investment property to pay it back but I don't think theres enough equity yet to pull the full $106k needed, I only borrowed $88k but with the equity percentage for one year i'm paying about $18k in equity on top of the amount I borrowed if I pay it off in year one, so I need this paid off ASAP before it increases more.