@Jenn N.If your “sale” property - the one you will “sell” and 1031 into a new property or properties is selling for $575,000 to $600,000, you will need to trade 1031 into a property or properties totally $575,000 in value or some tax will be do.It’s a complicated issue, but to totally defer taxes you need to buy for more than you sell (ignoring the impact of closing costs).So you can’t buy two $200,000 properties and sell one for $575,000 and defer taxes.I second @Bjorn Ahlblad statement, talk to a 1031 exchange company, that often know more than CPAs about the specific detail on 1031s.

It's going to complicate things and perhaps cause tax reporting issue that will require a CPA's assistance.

Since it is a bit complicated with househacking, i am not completely sure what can be deducted and what can be depreciated.

We found Podio itself to be a little complicated so we hired Investorfuse to run our CRM for us. 

Leased systems can be a bit problematic as the leasing company has a fixture filing (similar to a lien) that adds a layer of complication during the sale (buyer must qualify for and assume the lease, or seller needs to pay off the system prior to sale).

Hi @Nancy Bachety, The Improvement 1031 Exchange (also known as Build-To-Suit or Construction 1031 Exchange) gets more complicated and there are more costs involved. 

For wwhat it's worth:Michigan has some of the most complicated property taxes in the US.First, Michigan uses the State Equalized Value (SEV) to determine INITIAL Taxable Value.

In MA you need to give a TAW a full rental period notice that you are not renewing their agreement, which I did, but with COVID things become more complicated. 

Due to complications with the electrical work being done, and paper work with the lender, we were delayed and didn't close on the property until late 2020.

Commercial real estate gets much more complicated and that's something you don't want to buy without running your numbers by an experienced broker or a lender.