Then, when they are within 180 days of completion you can execute your sale and 1031 into the finished product.New construction can be tough with a 1031. 

If it is a scope like tile or flooring I have them also do a room before moving on to the next room to review quality of work.Also, I have asked to go see their home, several in the past never finished projects in their own home and quality was shotty - that was an easy pass using them.

The structure and layout made it ideal for a modern update that would appeal to buyers seeking a fully finished, move-in ready home.How did you find this deal and how did you negotiate it?

Improvements included new flooring, upgraded kitchen and bathrooms, modern finishes, and enhanced curb appeal.

The rent amount may not be the issue, but what you are offering is pretty rough.The other issue is that the only type of tenant you can attract with beat-up finishes are the ones who are on a budget and "don't care".The single best thing you can do is personally tour some of your competitors close by.

It genuinely felt like we were robbed.They do NOT finish projects on time.

I’m looking at hard money as another option for a turn key property once I finish my first renovation and have more funds to put down 20%. 

I will be doing the rehab/finishing the home. 

With no rehab or carrying costs, the deal was simple and efficient from start to finish.

@Chris Seveney, I’ve seen the same: anything below 1.0 rarely gets over the finish line unless there’s serious skin in the game or a story that makes the lender comfortable.