A common strategy I see with diversification exchanges, is that the investor will purchase the first property cash and the second with a mortgage.

.- Does anyone see any flaws or can offer some improvements/considerations to the financing strategy of this plan? 

If so, what strategies worked for you?

The seller will always retain the equity and would receive annual distributions - and could structure the agreement with an exit strategy that makes them comfortable. 

I have listened to a podcasts with other doctors talking about this, Anywhere else I can find info or advice or strategies on similar situations?

Have a strong partnership agreement that clearly defines roles and responsibilities, profit sharing, exist strategy, etc.

Selling at FMV avoids the gift tax but provides your child with a higher tax basis, reducing their future capital gains liability.A better strategy for selling below FMV is to sell the house at FMV on an installment note, then forgive interest and principal annually up to the gift tax exclusion amount.

If anyone else has a favorite strategy or tool they use to keep tax prep under control, I’d love to hear it!

@Jonathan Blanco, I'm and investor and a licensed mortgage broker so I've been on both sides of this conversation.I would look for a lender that (1) listens to you and understands your strategy and needs (hint: it's not always money), (2) has experience working with clients executing your strategy and brings more to the table than just cash - be it advice, relationships, deal-team partners, etc., (3) gives you viable options and explains the pros and cons of each option and (4) you enjoy interacting with - this should be a relationship, not a transaction.Once you find a few lenders like this (and you should have relationships with more than one), then you can start comparing rates and fees.

I'm a 2x house hacker here in LA (a case study in the BP book The House Hacking Strategy) and an out of state investor.