As you know, land is not depreciable so your tax benefits going forward should be considered with respect to the allocation of the price because it will effect your bottom line with respect to taxable income.Additionally, ensure that you have the property you are buying titled the same way as the property you are selling because the taxpayer is the one who receives the benefit of the exchange so the selling taxpayer (individual, LLC, Corp) and buying taxpayer need to be the same. 

She is not a good tenant as she  does not respect her lease and I suspect she will get worse unless you speed up her training program.  

I think I know the answer, but I want to double check -- on my P&L, should I be recording insurance and taxes as I pay them to escrow, or when they are paid out of escrow to the respective entities?

Explaining to her that her late payments challenge her levels of respect is something that you can also work into a chat (as crafty as you can, and if possible).  

And I really respect your willingness to step back and collect yourself.It sounds like you're on top of everything but from personal experience I recommend designing the systems you'll want to use to manage renters in advance - so you can just plug people in as they come instead of reinventing the wheel for each new tenant.

However, we make sure to remain respectful as we want to treat our tenants with the same respect we expect from them.  

@Joe Jackson, I own several residential rentals free and clear like you do. 6-7% is a very respectable return for no debt.  

@Ned Carey @Jeff Rabinowitz This investor is a family member who has been doing real estate investing for longer than I've been alive so he is really giving me a shot to break into the game after earning his respect and trust, through my hard work and passion.  

I had a great contractor who had gone to the property multiple times to assess the various challenges with respect to the rehab.

I am not looking for a number here as all regions are different in this respect.