It is well below the 1% rule and will most likely break even at best.

My rule of thumb is that to invest in a MTR in the area I need to have at least 3 pillars of demand.

@Rebecca Busch - Finding a RE specialized tax advisor is not an easy undertaking.

This is so easy.

In BC it is tough to make any numbers work, and the tenancy rules here are just not landlord friendly at all. 

It just simply as easy as writing a check from the LLC to your friend.  

Purchase as yourself and either carry an umbrella policy or quit claim into an LLC after the 1031 is complete.Not an easy question is it?! 

I also am aware of the work force in Cleveland having done 1ks and 1ks of renos/ repairs, more than a dozen office staff, 30 contractors and 6 full time handymen, it is NOT easy finding reliable workers.

Thank you everyone for your guidance.If I were to get a higher rate for the bigger property, how easy it it to refinance it down the line and what would it cost to refinance ?

Is it easy for my friend to shift full ownership to me if he loses interest (Not a huge risk but something to think about)?