It's essential to familiarize yourself with the local landlord-tenant laws and work with a reputable property management company to ensure smooth operations.Short-Term Rental Laws: Philadelphia has regulations on short-term rentals, but it is still possible to operate Airbnb and similar platforms within the legal framework.

If health issues were mentioned, they tried conveying that selling was preferable to simply losing any and all equity if the property was lost to the bank or county.

Hi Lisa, As an investor, I have worked with all types of realtors, but for investment property I would say that you have to have an experienced realtor in investment properties or you have to have enough experience for the deal to work with.Experienced Realtor will help you with the contract (which in many cases are not simple), but most importantly with spotting issues in the property that could cost you thousands.Your concern is valid so it is important to sign a Buyer Representation Agreement, in which case the realtor has to work for you over his/her own interest (or you can sue him).The idea is not to sue them, but to make sure you trust them enough to work with them. 

There are a lot of possible issues with seller financing while doing a 1031. 

It's like a person who has serious stomach issues but refuses to go to the doctor because they're afraid they'll be given a terminal diagnosis.

I then check to see if there are any local laws that limit the number of STR rentals in the municipality.

I’ve never had big issues like this at all so maybe I got lucky.

If you are looking to capitalize on the market, and DTI is not an issue, price reductions are a better alternative, since you can always refinance into a lower interest rate.  

I'm a Canadian investor and like you have been experiencing the same issues in Ontario, I've started investing in the US where the tax climate is better, borrowing is much easier and evicting non-paying tenants is much more fair.

If she sells the property before that date, she would not qualify for the full exclusion unless she meets certain exceptions such as unforeseen circumstances like job loss, health issues, or other qualifying reasons outlined in IRS Publication 523.Regarding prorating the exclusion, unfortunately, there's no provision in the tax code for prorating the exclusion based on partial years of ownership or residence.