I am hoping to start a 1031 exchange and I am wondering if I would qualify before paying the fees to set one up.

Their ACH limits are comically low, at $500/day and $4000/month.

I presume it would be advantageous for my in-laws to pay back that $250,000 in multi-year installments to limit their capital gains tax liability? 

Do your cash flow projections include set asides for CAPEX?

It's a set of brothers who have struggled to find their way in life. 

Oh and did I forget to mention 0% state income / low property tax, limited government regulatory interference and pro-real estate policies for developers/investors?

There are some limits on the amount of depreciation that you can deduct for a short-term rental property based on the number of days that the property is rented out each year.

2- Let's say, I buy a second mortgage and lis pendens has already been issued for the first mortgage and an auction date has already been set for it.

Some syndicators know they can snooker that type of investor out of a quick 50k investment because they are so desperate to get into the game with limited options available to them.Lots of syndicators sold courses like guru's telling these young bucks they can't lose.

, I was setting aside 5/5/5/10 for the place concerning vacancy, maintenance, PM, etc. and was told that's fairly accurate.In my market that cash flow would be nice.