Essentially you are creating future tax free income by being able to roll over these losses.If your income is between $100,000 and $150,000, a portion of that $150 loss is deductible and the rest rolls forward.If your income is less than $100,000, your loss is fully deductible - and THAT's the cool thing about rental income. 

And you assume the rest of the mortgage that you're already guaranteeing.Your idea to refinance immediately after to get favorable financing is perfectly fine. 

HI @Jacob KazmierskiI would suggest saving a certian % you fee comfortable with and then put the rest into a high yield savings account.

Have a great rest of 2024 and than you for your help.

But you would shelter the rest in your 1031 exchange.

I know it may sound as a BIAS from my side but I think this should NOT be legal to put covenant, see my logic here a builder build a whole community and one part of it is rentals the rest is single family, they put covenants and restrict the market to rent by room just to ensure they can rent their rentals that is a sort of monopolistic behavior and should not be legal.

When I DM'd you, asking if you would put my mind at rest by simply confirming you own the asset, your response was, "I don't owe her a response about anything on my website nor do I have to prove anything lol". 

I think you need a lot more money than you think to live out the rest of your life if your plan is to just work part-time and have low-stress. 

I say we because my wife does the decorating and I do the rest. :) We currently have 24 units and looking to at least double that in 2025.    

I look forward to reading the rest of your updates on here for the community.