But I think @Bob B. is right about having a conversation and letting her make the choice to move on before it impacts her future.

It's a personal choice.  

My plan was to just pay the capital gains and not stress on doing the exchange but I'd rather not leave money on the table if there is a choice.

Banks will routinely audit to see who they might be able to get more money out of & if it's a non-disclosed material change to the original lending agreement and they did not expressly agree to the change in terms, they will want to change the terms to make them beneficial to the bank.Also, if you do not have credit built up in that entity or equity to leverage, the chances of you getting a sweetheart rate are lower compared to your own good personal credit.   

Theres a lot of nuance to this loan and having the details have made me much more prepared going into this complex but beneficial purchase approach.

However, it's the least expensive choice.

My properties are well rehabbed, I can understand you not take long less then a 5 percent but from an investor point of you, it may not be beneficial to pay 5 when someone with same experience is offering me 3 percent.

This time around, I can't find a clear-cut choice to select when describing the rental property I no longer live in. 

Invest and buy based on fundamentals, interest rates, location, your lifestyle choices etc.

Send signed purchase agreement to the title company of choice and send title company the earnest money. 7.