Does anyone else have this issue, or have a solution?

I faced similar issues....a $50k ticket for solutions that might not actually solve the problem....just make it easier to live with...and then I was still stuck with a home that would always have a defect.

Searching for the "innovative" solutions.

She hopes to scale the rental business and hire a property management company (1099) to manage all doors.Investor is also a broker, and would like to reinvest any commissions, rather than take them as salary or dividend (unless this really screws up tax treatment somehow). 

Properties acquired for rehab and then immediate sale do not qualify for 1031 Exchange treatment. 

Renting a house is a great solution to earn extra money.

Part of a solution might be to sell an interest in that property as a partner, but even that needs to be reviewed by an attorney.

My dad is going down there and will be down there for the next 3 months for cancer treatments.

The simplest solution to the OP's dilemma is transactional funding. 

Steve had a good solution and although I dont disagree with him, Im not trying to be a real estate agent, it isnt something i want to do, i want to partner with some to make multiple deals over the long term on non performing properties that result in wins for all concerned.