High rates of return are addictive and there is a fine line between investing and gambling.   

It can't/shouldn't - unless you have a partner you really trust or want to gamble. 

But there have been some situations where the IRS has decided that even a hold period of more than a year was not long enough to establish the intent to hold.

As long as you purchased at least as much as your net sale (approx 1,062,000) and as long as you used all of the cash to do that ($400K) you will defer all tax.The DST leverage only establishes how much you actual purchase - Take the cash you invested and multiply at the leverage position as Account Closed suggests. 

If I establish my own DST (and do not accept outside investment) are the rules different?  

They are established already so for your absence get a PM.

Today more and more companies are simply copying the marketing of companies who are bigger or more established and the buyer has no idea of what distinguishes the good from the bad.  

They need to establish a local business entity you can receive funding and distribute proceeds to just like another local.  

Otherwise you are limited to 6 month or longer leases.One other consideration, if you are out of town and offering short-term rentals be sure to hire a good management company that has an established clientele and offers reasonable rates.

Lease 2 own exit is a gamble as an exit strategy too.