@Evan Smeenge Recognize that, especially with SFR and duplexes, the investor may not actually be looking for cash flow.

Once you get good at analyzing it shouldn't take you too long to recognize a good deal in the future. 

You just need to recognize that if there is an issue with any property in the LLC, then essentially all the properties are part of the "pot" if there is a judgment - the liability attaches to them all.

It's been proven time and time again that usually (not always) it doesn't solve a problem when someone gets something for nothing.  

Proven track record also works like a magnet.

3) Also, I recognize that by waiting 11 months to finance the property I have the risk of interest rates going up.

In the past I've been concerned with 1 bedrooms as it feels like a limited renter's pool but I've been proven very wrong in this thinking. 

BP has proven to be a great source of information and has plenty of knowledgeable experts.

A 1031 can't be used for flips, for example, as those are considered business inventory for tax purposes.In your case, it sounds like your intent is easily proven.

@Andrew Y.As you have an installment sale for tax purposes, you won't recognize the $26k of gain immediately.Each payment contains a return of cost basis component, a gain component, and an interest component.Encourage you to work with a tax CPA/EA if you're not comfortable determining the components and reporting requirements (Form 6252).