The 1031 exchange rule to defer your tax is two part 1) reinvest all your proceeds and 2) purchase a property (or properties / DSTs/TICs) with an equal or greater market value.  

Here's an ideal PM contract: The two keys are: The PM is incentivized to make you money, not charge high fees, and is contractually bound to provide reporting that you can understand in a timely manner. 

What I was referring to was that I know two private lenders who have the borrower complete the Deed in Lieu documents at the Closing of the initial loan and then hold them in escrow during the life of the loan.

Are you two seeing LTVs higher than 80% on that front?

But it wa a decent gig for people until a year or two ago.

Just my two cents. 

And because it’s a logistics hub (FedEx HQ, major distribution centers, and growing industries), rental demand stays strong.I’ve been in Memphis my whole life and have spent over two decades helping investors navigate this market and build profitable rental portfolios here.

I currently own two properties - my primary home and a vacation home in Truckee we rent out on Airbnb. 

Lenders will want to see those funds deposited in a bank or other lending institution on one or two monthly statements.

It's not quite as easy as renting out two sides of a duplex, but with the right marketing and management you could rent out the extra unit to supplement the mortgage payment.