First, the stairs leading down to it would likely need to be replaced.

So there might not be enough gain to need a 1031 exchange.If there is enough gain to justify the 1031 exchange then simply treat your replacement property as you would any other investment like @Daniel Osman said. 

Also had to replace fuse panels to make it work - going back and forth with the city was dificult.

The AC is old, but I’m planning on holding off on replacing it.

@Kyle Carter You cannot directly use a 1031 exchange to purchase a primary residence, as the IRS mandates that the replacement property must be used for investment or business purposes.

@Dallas Smith To defer capital gains on your investment property, a 1031 exchange is an effective strategy, but the replacement property must be held for investment purposes for at least two years.

Pretty easy to get a $6,000 to $10,000+ sewer dig up and replace cost if it's a perfect wide-open area.

I am going to see if I can switch to a local Wisconsin insurance that reflects our local risk level in their premiums.Many of the homes in the Pacific Palisades are 3-5 million, but when you look on Google Street View, most are very modest homes from the 1960s (there are some $20m ultra luxury mansions too), so a lot is the land value, the home replacement value on a 1600sqft may be what - 500k at the most?

I know you said you don’t expect anything major on the properties soon, but I would take a careful look at what is most likely to need to be replaced soon and figure out how you would pay for that if it needed to be done tomorrow.

All are perfectly functional now, but could pull higher rent with replacing the flooring, and updating the kitchen.My current financing setup for this deal would be $235,000 from the HELOC I already have secured.