I would want the tenants actual names on the lease, since if you have to evict them you will need to provide a lease with their name, and not some llc.If you have an llc rent it do they have the right to swap out tenants?

Generally - and this assumes it's a good rental to begin with - keeping what you have and building on it builds more wealth than swapping out, unless you're doing a 1031 that has a lot of value-add proposition to it. 

Many of our clients strive for the "swap til you drop" tax planning strategy. 

Those exchanges are called Swap and Drop/Drop and Swap.

If you do go that route make sure you have a lawyer read over what you sign and the terms of the swap to conventional.Good luck.

How do you swap the two positions?

Might swap skills so to speak with a mortgage originator.

She now has great tenants & vacancies are a clean swap.

If you prefer to have the MMLLC involved from the start, consider a "drop and swap" strategy, where the property is moved into an LLC before the exchange, though this requires careful timing.

I would probably swap them and not charge. the paint has to be done, so I would paint those walls and charge for it.