@Mike Moran clarifying question, if this a 1031 exchange? 

Build the property, rent it out for a couple years and then exchange it for other rentals to defer the taxes.

@Gerard Scranton - we have gone the partner route in similar situations in the past by giving an equity stake in exchange for cash and labor.I would find the nastiest houses in need of work and put up 50% of the combined purchase price and rehab cost and then I’d bring in a contractor partner to bring in the other 50%.

Then each of them could decide to do a 1031 exchange, where they could take their share of the sale, and defer it into another property.

Used a 1031 Exchange, bought it from another investor who could not afford to renovate How did you finance this deal?

Do they have the necessary resources to stay on top of all the tax issues such as 1031 exchanges, 754 Step-Ups, etc.Feel free to share your thoughts or comments.

Took the proceeds and put them into a 1031 exchange to be used on purchasing a long term rental.

HEIs, offered by companies like Unison, Point, and Hometap, are not about paying off mortgage in exchange for equity.

Ok so I sold a property for 1,050,000 cost basis was 175 exchanged for another property for 860k.

Sam,I found that doing the 1031 exchanges during the winter has worked well for me.