If your return is audited and if the exchange is questioned the field agent may question you and it will be your responsibility to demonstrate what your intent was.  

As the last post demonstrated you can do an allocation and if there is sufficient square footage (or ratio of purchase price etc) above your 1031 requirements you could move into that portion of the property as it is not needed to satisfy 1031.Even if you are only purchasing just enough to satisfy the 1031 requirements there is no reason why you cannot change your mind in a while and move into the property thus converting it from a rental to part primary residence without triggering a gain recognition.  

Works either way.We take two hours for the lease up process as we explain everything in the rental agreement, which includes the property rules, and we demonstrate how to use and take care of the unit, and we do the move-in walkthrough together.

A judge is unwilling to hear a case even though all evidence demonstrates the individual did not meet the requirements outlined by the (illegal, unconstitutional, nonsensical) CDC Eviction Moratorium? 

Without 2021 2022 returns demonstrating they cash flow...

You have to engage with your community, help them, contribute to them, and demonstrate that you can deliver your angle on the real estate business or any business for that matter.Linked In, Bigger pockets, or any portal where you are adding value back to the world in the form of advice or insight are great ways to make friends and contributions to others. 

Then, when things get tough, they walk away and go back to delivering pizza or whatever it is they were doing before.If you can't demonstrate financial discipline and hustle, sacrifice, and save to invest, then you probably won't do perform very well with your investment, either.

The reason some are bidding a very high premium could be greater knowledge or could be stupidity.Sometimes someone may have specific knowledge about the property that demonstrates the property is more valuable.

Peter and Terry,Exactly from what Lonnie demonstrates they are "little boxes" that spit out cash !

Most likely the Security Deposit was eaten up with late fees and unpaid rent which Seller should be able to demonstrate as stated above.