With a HELOC you could still tap into the equity, but not have to worry about moving, and go to a Midwest city and buy rentals around the $100-200k range per each and just put 20-25% down on them.But overall as everyone said above, it’s important to define your lifestyle goals and then fine how real estate can get you there.

My credit is in the high 700 range, so I should be able to get a very good rate.

The other two are in decent areas and are looking like they may be in the 80-90K valuation range. 

Property: 4 BD / 2.5 BA 2-story HomeOnline Value: $284k (Z: $292.5k, R: $285k, Red: $275k) less repairsRental Comp Range: $1500-$2100/mo - Most likely $1650-$1750Repairs: $34kActual Value: $250kOutstanding Mortgage Balance: $110kPrevious Purchase Price: $88kRV Purchase Price: $134kHow would you structure this deal to minimize expenses, fees, & taxes given the following info:1) FIL can give transfer property to us given any of the following strategies:    *$0 (gift)   ** $110k (we assume the outstanding balance on his mortgage)   ***We transfer at market rate (quit claim deed adds us to property deed, $110k refi with wife & I assuming all debt, then he's taken off deed w/ quit claim & we pay him 140 payments at $1k month for the equity he has in property w/ no interest).   

Property consists of 7 single wide mobile homes (in good condition) 2bed/1 bath on 2 acres.

Phoenix market is hot, the lender maybe asked for a rush (rush fee $200) range cost for single family appraisal with rent surveys is $495-1000.

I believe I understand the financial aspect and the minimum price range of property that I need to purchase in order to qualify for this 1031 without getting taxed.

Alternatively I have seen a lender that does almost nothing but commercial loans do 10 year fixed, 30 year amortization, 70% LTV, rate in the 3.6% range, no pre-pay penalty.

Once you narrow your focus you may want to check out the Biggerpockets bookstore for the great selection of books on a wide variety of topics.  

Important: Always evaluate properties based on cash flow after subtracting the tenant pool segment cost.Once we identified our target segment (the Permanent segment), the next task was to determine three important segment characteristics: rent range, needs, and location.