From the little I know of 1031 exchanges is that the replacement property value MUST be higher than what was sold. I do not think you can step down and postpone gain like you think. Better pay a few more bucks for an attorney versed in the intricacies rather than only relying on the intermediary. https://www.realwealthnetwork.com/learn/how-to-do-a-1031-exchange-rules-definitions/
In any event you move the sale, recaptured depreciation, basis, and cash gain into a new asset called 1031 Exchange which is now used toward the new purchase and will be a line item or two on the HUD-1.
I do not play a lawyer on the world wide web but I do think you are headed for trouble having any leftover funds unless you can also spend those into an additional property before the time is up. There is as I see it no restriction on diverting the gain on a single property into the purchase of multiple properties (or I could be wrong)
