The contractors on this forum are going to need more information to give you a more precise answer. 

So my question is- do I sell this property (valued at $170k and I owe $120k on it), and 1031 exchange it into a new property on a 30-year?

Are you doing a 1031 exchange?

The first option is to offer tenants financial compensation in exchange for vacating the property.

When doing a 1031 exchange what matters most is that you are improving your net worth and lifestyle.

I learn better by exchange with people where I can ask specific questions.Are there people out there who are willing to mentor newbies for a bit where I could ask questions?

I come across articles for a 1031 exchange but I think that only applies to investment properties.

Or would you prefer to give up the time and responsibility commitment in exchange for lower returns and less upside?

First, a flip never qualifies for a 1031 exchange, regardless of the amount of time it was held. second, even if the property qualified for a like kind exchange, once you sell the property and receive the proceeds, it's too late to complete the exchange.

the other portion, if being sold at the same time can be done with a 1031 exchange.