The lender did everything wrong in this situation and now are paying for it.Now they are trying to sell the loan at a slight discount (oh did I say its a 0% interest loan and they jacked up the UPB of the loan instead of adding interest) - again another rookie mistake. 

I'm not familiar enough with RDU to give you specific areas or submarkets. 

I may be wrong, but will error on the cautious side. 

Talk to your attorney, and if you dont have one, get one - as @Ken M. said, this is highly specific to the state and the circumstances.

This normally would not be an issue but the cost of the water/sewer is extremely high in this area and specifically because the meter is a one inch, the costs are much higher than a normal 3/4 inch on a non-duplex. 

Happy to answer any specific questions you have. 

While not being specific as to why there were delays (except what we know-that there is a wait on the process of a national builder buying out properties), she said they were temporary delays recently and that they were not permanent.   

There is no specific IRS-mandated minimum holding period for a property acquired through a 1031 exchange before you can retitle it, that's why it's hard to find an answer. 

Option 2: Electrician recommended mini splits - said 2 units should do the trick and would cost around $6-$7k.Heating system 2 is forced hot air oil furnace specifically for the 3rd unit.

I sold that in 92. next iteration was 2002 when I started a new lending company in Portland OR to specifically fund Turnkey buyers in the mid west doing BRRRR loans we killed that.