Are there other factors outside of the rate increase that have you wanting to cancel the contract?

So if you are getting a standard Conventional or FHA mortgage I would reach out to a mortgage broker or retail loan officer first.

It is an industry wide national standard practice. 

Now, you still have to comply with all of the standard 1031 rules -- including (A) buying properties that are at least as valuable as what you sell, and (B) moving all of your equity from the STRs into the LTRs -- then you may still pay some taxes even with a 1031. 

It's about much more than fixing leaky faucets; it's about enhancing tenant satisfaction, optimizing operational efficiency, and ultimately, increasing property value.

Standard op for banks.

I don’t see an easy path for you to reach 7+ rental properties unless you increase your risk/effort appetite.

its going to increase your hold costs.

That’s $104,664 annually (actually increasing each month since the payments to us are all interest but the amount of principal we are paying off on the underlying note is increasing with each payment), on an “investment” of $523,000 (which is calculated as the amount of additional cash we would have received by accepting the all cash offer).  

I sent him a lease extension agreement and in the lease extension agreement it states that we are increasing the rent to $1,650 per month and we are requesting another $3,000 for escrow for a deposit to stay in month to month.