You'll pay tax on the difference but shelter the rest in your 1031.Selling one larger asset and buying several smaller ones in different geographies whether true turnkey or not is another option.  

I believe that after my winter/spring renovations are finished and once my rents are bumped up a bit I will be at or around the 20% equity mark and my income on paper will look great.Thanks!

It seems to be a subsidiary of a larger nationwide company. 

I questioned the necessity of it and he said that I need it for protection and the homeowner's policy won't work since I'm doing some renovations. 

Investing in Multi family will be a pretty similar experience to your other rentals just with a larger focus on return when you're purchasing, I wish you the best of luck.

If your PM is not licensed and/ or using this agreement that might be a larger concern.

I can see how scaling this for larger deals could work out pretty well for all parties.Thanks again 

Matt - thanks for the post I would recommend getting an owner occupied purchase loan for the new property you plan to buy ...this will allow you to get best rates available I would also recommend doing a  " cash out " refinance on the  free and clear rental  in order to obtain  a larger amount of  cash / working capital  for your  projected  plans  ......ideally a heloc  program would be best to set up but most lenders / banks wont  allow a heloc on a rental  property so you would likely need to  use a straight 30 yr fixed loan ..adjust the loan amt  so that the  cash flow you end up with is acceptable for you

The house was renovated a bit in 2012 (nothing too fancy), including a new roof, has window unit a/c, gas heat, and includes lake rights to a chain of lakes (although its not right on the water). 

I have a newly renovated but still vacant Duplex with new grass that will still need watering even after tenants move in for March.