But, multiple that by 5-6 to get the true time commitment.  

Remember the old and true RE adage, location, location, location.Bottomline, do you want to keep it longterm?

Is this true?

If it's indeed true, what options do I have?

While the liability is a real risk, and one that might be able to be mitigated through insurance, as noted.From my experience, particularly with finances, the Seal saying holds true: "How you do anything is how you do everything".

True, rates have been low and stable for a while, but no one knows when this will end.If you have an opportunity to lock your future in now, you should take it.

Hoping that some investors may have some advice on how to complete this exchange with deferring all of the capital gains (or at least most of the gains) Is this true, that you must trade up and your exchange property must be higher value. 

Is that true?

Before the auction, you can make up the payments in the arrears and take over the monthly payments using a technique called a subject-too purchase.

I would also say that once you understand different exit strategies, you get better at asking questions to better understand the sellers true motivation to sell.