I don't even agree with cashing out equity on Property A so you can qualify for a loan on Property B.

I was pre qualified for a DSCR Loan shortly after buying my first house but due to financial constraints to come up with 20-25% of the down payment I feel like I’m stuck.

With the addition of the Qualified Intermediary whose only role is the administration of the 1031 exchange. 

I was under the assumption that I needed much more hands on experience but have since been told that the 6 years I owned a GC company would qualify. 

I've had multiple qualified applicants.  

If you don't have a qualified HVAC guy or he can't find the issue you should get another one in. 

As long as there is a qualified tenant under good management then there will be cash flow to service expenses and that service.

You wouldn't need a pure commercial mortgage, you can do LLCs with DSCR loans, which are pretty similar to conventional loans, just more investor friendly: can do LLCs, qualify off property income not personal income, 20% down and 30 year term5.

Bravo & congrats on thinking this through for the long term in filing your taxes with the income on there so it qualifies for ongoing income in the long run!

Alternatively, there are programs that will allow borrowers to qualify high LTV with either a US Credit score or ITIN.