With that in mind I"d challenge you to consider the best time to 1031 is anytime bull or bear market when you see a geographic disparity in relative appreciation and market returns.  

Here is the challenge. 

Challenge assessment, if necessary.March: Insurance........Well, I think you get the point for the rest of the year.

. - sourceAnd while the average project approval time for new construction is about four months nationally, it takes eight months on average in L.A.To recap, here are some of the challenges inhibiting development in LA:Getting entitlements for new development is expensive and timelyNIMBYism and the control of local communities over the planning process adds tremendous risk as a project could be stopped due to law suits, lack of approvals, or requirements which make deals unprofitableThe high cost of land and entitlements coupled with a lack of incentives restricts the pool of developers who can afford to developBecause it is so challenging to develop and because we have such a shortage of housing, developers can only make their deals profitable if they target high-end buyers, further contributing to macro-gentriction wherein only the affluent can own homesThat said, it isn't impossible for a developer to develop.

Structure yourself as a brand to everyone you engage with so that you'll know how to discern the best from the rest for your business.

Issues:  With 18 units, some with the same rent, it can be a challenge figuring out who paid. 

That's how a regular company engages in money laundering.

Before engaging in a transaction like this speak with a company/professional who set this up for you, you do not want to make a mistake here, it will be very costly. 

Option 3: Finding a Stranger: With a focus on a buy and hold strategy, I have read many tenant screening postings including **The Ultimate Guide to Screening Tenants** and decided to use this challenge as an opportunity to test what I was reading.

To me dealing with inherited tenants is a bit more challenging than with tenants who signed the lease before moving in.