I've seen it from banks on REOs where they just cross everything out and initial it basically saying it's as is and we don't know anything about it. 

It's in a challenging area where Section 8 is virtually my only tenant base—not a slum by any means, and the house itself is in great condition.Here are the options I'm considering:A) Keep and Re-rent to Section 8: By investing in some upgrades (paint, cabinetry, toilets), I can increase the rent to $2k (from $1800), projecting a cash flow of approximately $1300/month.B) 1031 Exchange into a Short-Term Rental (STR) in Shenandoah: This would involve using a portion of the proceeds to make the property Airbnb-ready.

Your idea is basically doing a 721 exchange.

He gets paid in installments as he hits mile markers in the project.

I'm deferring my GC fee to build with higher equity and lower down how much cash is required for this partnership to lower the risk of the project.

You should ask for the context of when the lender funded 100% of the project cost.

I don't think of myself an expert but I have done enough to know basic strategies.

Sold over $100M in real estate & built a team only to tear it all down and be basically solo again.2.

Basically, you serve as your own custodian. 

There are some incredible new tax benefits for ground-up construction and major rehab projects.