IT may be an exit strategy from your hard money or construction loan.

He was debating whether to sell or roll into a 1031, and it took us a couple of long coffee chats to weigh the pros and cons.

Hey Bryan, If you are in search of a non traditional business purpose loan there are DSCR based 2nd Mortgages (Must be an investment property) Or Hard Money 2nds on Primary Residence (Funds must be used for business purpose).

I understand that banks do not like lending to LLC's to start off so maybe I would have to take some personal liability to begin with or get an umbrella insurance policy which I have heard could be an option. 

It’s very common in my area to have roommates so that could be an option to maximize income from both units.

It can be an extremely powerful tool to start to scale. 

Maybe a college rental semi-house hacking could be an opportunity.

If you’re in the area and would like to meet up for coffee or lunch to talk real estate, or just connect, I’d love to hear from you.

But as we sat down over coffee and sifted through the details, a few things didn't sit right.Those indexes...

The issue you have is that it doesn't appear that you have an investment property if you are letting a family use it rent free.A 1031 exchange requires the property that you are selling to be an investment property.best of luck.