Doing either or would be my very first of either refinancing or doing a 1031 exchange so I would preferably like to weigh out my options and decide what would be best and fit my goals the best.

Thanks.I have it accounted for, but I am managing it myself and it would still cash flow over $100 a/mo if I decided to get a MGMT company.

If you later decide to self insure the Improvements (parts of the building you own based on the bylaws) you can at least keep the Liability going that way.

Would they ever be looking at that to decide if they can loan out to a buyer for our house because of that?

Once you parcel them off, the value of the lots should be able to be leveraged to get some money into your construction loan should you decide to build on it. 

Will do, I agree. hoping to find all different solutions and decide put paying out of pocket is on the list. 

@Jacob RiveraS-corporation is usually a bad choice for holding rental properties, tax-wise.Why did you decide to use an S-corp?

Who decides what price to list/sell for?

So we put our rentals on 15 year loans for now until we decide to leave the fire department and solely rely on our real estate business for income.

I've known him a long time and decided to approach him to gain some info/network.