You are obligated to provide the oldest verifiable operating statement (base year), which is adjusted into today's dollars (Using an LA City formula for inflation) and this is compared to your current year (yes with receipts, cancelled checks, bank statements, k1's etc), which can be significant. 

If you provide a scope of what you are demo-ing, you may have better luck with someone's experience to comment here, but costs can vary regionally, so a local contractor would give you the best actual estimate. 

They can provide you with some great insight about investing in that market.Staci

There was a lot of little tracts of west Texas desert land that used to be added to deed swaps to make the valuations work out back in the day.The reason for a 1031 in this situation is that it provides crystal clear direction and documentation. 

Regards,Abhi.Abhi, There's no way for an investor to have an opinion on that without doing alot of due diligence (and way beyond the basic info you provided). 

I am aiming for a home between 150-250k, which i can afford if all hell breaks loose, at a 5% conventional 30 year term loan (unless a lender or someone else can suggest me a better loan) My question is what are the minimum requirements for obtaining such a home (capital wise, credit score wise, salary wise) Who can i specifically talk to for these numbers and help me understand tenant demand, areas, and more specific information about my market?

Are there any banks/lenders which would provide some incentives on closing cost and give good interest rates?

My philosophy is very simple: never sell a property unless you can (a) put the money into something that provides a better return or (b) it moves you closer to your goal.3.

You should seek a Lender who can provide a formal Certificate of Approval Letter upfront and help Prequalify DSCR properties in advance to simplify the process. 

Can you provide some more advice on how you screen tenants through social media?