Maybe someone else here has first hand experience that can clarify, or knows lenders that will work around that requirement. 

On the other hand, too much leverage is risky if the market downturns and you need to liquidate.

If you don't have it in your hand, you don't "own" it.

It sounds like you have a problem tenant on your hand.

On the other hand what are my odds doing STR there?

Things like ability to do thorough inspections, work experience with construction/repair, non real-estate investments that have transferable skills can help.  2.

Finished reading Brandon turners book on rental property investing, listening to a handful of podcasts, and gathering more and more information.

@Nadjib Rusangwa I say this without trying to offend, but if you walked into just one title company (without a deal to bring them in hand) I am not surprised you haven't found a title company yet.

Also, my husband especially, would like for us to move into more "hands off" investments even if that means somewhat lower returns.I have seen Delaware Statutory Trusts advertised as a vehicle for investing 1031 funds.

@Matt ShieldsMatt and Ronald thanks for the reply, Matt you do make a good point it is very front end heavy with inspections and for someone to transfer their voucher can take 2 to 3 months.