The 1031 must be a sale of investment property followed by the purchase of investment property. 

Did the proceeds from the sale count as short term or long term capital gains?

I used Roofstock to sell one of my rental properties in TX as their sales commission is lower than going through traditional sales channels. 

Why not test the market by putting the lots up for sale, and if nobody bites, that might provide your answer. 

If the sale is for $600K then you need to purchase $600K of replacement investment real estate. 

For me as well as the seller.First, you have to define Sub to financing.Do you mean the reckless kind where you overpay for a property, take over the financing and borrow from others to cover closing costs and holding costs when you have no money, no credit, no income, no reserves and can't tell a warranty deed from a deed of trust and you close on the kitchen counteror do you meanbuying below market value, already having a nice income, having reserves, using escrow and title, already understanding the due on sale clause, have done a lot of creative purchases and know when to use and when not to use creative finance and how to recover if something goes amiss?

When the smoke clears after a sale, everything falls to the buyer's responsibility.  

What are the costs for the value adds, the expected hold time, and the expected sale price? 

While I have a fantastic rate, the co-owner's giving me the option to refinance or he'll force a sale.

LLCs are a legal tool, not a tax one.Transfer from personal name to LLC/Due On Sale ClauseIf one is transferring property title from personal name, a Grant/Warranty Deed would be drafted/recorded to transfer title.