A significant discount would be needed to satisfy the additional risk the buyer would take

Combining retirement funds with your personal funds (e.g. via the LLC) introduces additional requirements (such as via a tenancy in common) that may make the transaction impractical even if you can satisfy the technical compliance requirements.

I’ve been satisfied with both FCI and Madison.

I'm going to try cleaning it with the most heavy duty methods I can find and if she's not satisfied I'll pony up for a new one.

My spouse just finished her contact and will be going back to FL to manage the contractors and buy new appliances while I stay in WA and continue being a Travel RN.My question is, if she will work on a contract position (36 hours a week) and maybe do it for 3-4 mos, can she qualify as a Real Estate Professional if she's work 36 hrs a week, and say she will successfully satisfy the statutory test  (>750 hrs  &  > 50 % of her time)Thank you so much!

This would let you satisfy your 1031 exchange requirements but also scratch your conservative itch. 

I believe that should be enough but if they are still not satisfied then do your best to fix your ads or make your rental more appealing to attract more prospect.

This is what I was able to find in the tax code: If a residence is owned by an eligible entity (within the meaning of § 301.7701-3(a) of this chapter) that has a single owner and is disregarded for federal tax purposes as an entity separate from its owner under § 301.7701-3 of this chapter, the owner will be treated as owning the residence for purposes of satisfying the 2-year ownership requirement of section 121, and the sale or exchange by the entity will be treated as if made by the owner.But based on your description that I would be a tenant and not the owner, I may need to make another plan.

Is there any way that he could purchase the property with a DSCR loan and have his business rent the space back from him to satisfy the requirement?

As mentioned there's no resort amenities there so they have to be satisfied with just the house.