Remember that in any 1031 exchange:           - what property(ies) you buy have to be worth at least as much as what you've sold (net of closing costs but not net of mortgage)          - all of your equity ($2.4M) needs to go as down payment on what property(ies) you buy1031s are not good at deleveraging. 

The initial returns are lower on paper in better locations (lower cap rate, less initial cashflow according to the magic spreadsheet), but the overall returns in reality are much better including all the different ways people make money in real estate (gained equity through natural and forced appreciation, principle pay-down, increasing rents= higher cash flow when looking at the big picture if you buy and hold, depreciation tax benefits, plus way less of the big profit killers like turnover, non-paying tenants, property damage and theft, dealing with bad contractors because good ones don’t choose to work in bad areas either, etc.). 

Now the land is not worth nearly as much as the collateral the bank issued their loan on.  

I suspect their criteria increased to re-alight with risk. 

I have found a number of other users posted this question in the forum over the years but I cannot find a resolution anywhere.The way the Rental Property Calculator derives the "Profit if sold" number seems to have an error in it if you are using the function to increase the rental rate and expenses each year.

We purchased it below market value and increased the rents from $1000-1200 up to $1400-1500 What was the outcome?

I have three rentals with a pretty good amount of equity and I would like to tap that equity while I'm paying the loan down and increasing my equity as efficiently as possible. 

This is a fixer upper shack on 2 acres that's probably worth 100K now and I had a 10 year Option which has about 5 years left. 

I go to some REI meet ups and from what i've heard from other agents/investors is that i should propbably start residential in order to build a "proof of concept" essentially to prove to investors my worth.

I don't think it will be like 2021, but there will still be more competition.Versus, buying now, rates drop, competition increases and prices go up, and you get to ride it out.