The reason this matters is that your "active losses" can only offset active income.

Do they wait until the renter is gone in November to do the repairs, and if so, do they pay for the loss of income while it's unable to be rented?

I been planning to do real estate agent before job loss, but have got to it yet.

Other than potential liability and loss of income, none I can think of.

Thanks all for your help and guidance Hey Mike, first of all, i want to say I'm truly sorry for your family's loss.

There's only so long one can hang onto unrealized losses when the cracks start to emerge.

I'm starting to see properties that were bought off the MLS two years ago, go back on the market at a loss of 6% to 10% of ARV.

I filed a claim with WFG title insurer and they just denied me saying: "Title insurance is not a casualty insurance that covers every possible loss, nor is it a guarantee of any facts regarding title to real property.

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.This example shows that while the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall annual loss.

The only thing I will add is, if you bought that property recently and plan on selling soon, you might well be selling at breakeven or a loss.