It took another month for them to place the money back in account, after a bunch of phone calls and loss of work....

And when you sell it if you meet the primary residence requirements the profit is tax free.It is possible in many instances to own successful rental real estate that generates real dollars in your pocket but operates at a loss for tax purposes. 

If you can't cook food in it, it's not a "unit."

I fell in love with the Lowcountry way of life, including good food, beautiful trees with Spanish moss, and stunning golden sunsets.

Current CPA says we can't take losses off of W-2 because W-2 income is greater than 240k.

Create a penalty/fee that prevents loss of income.

The goal is to create paper loss and offset your W2/business income.

However, consider the impact on the current bathroom-to-bedroom ratio and whether the loss of the open loft space might affect some buyers' interest.Vancouver's real estate market has been strong, with increasing home values.

So other investors in the project want to sell as cash flow is not good and take a loss but I want to look at alternatives where we could get better cash flow for the future and it seems like section 8 pays more than market rate in the zip code.

It could still be really profitable, if you're the only game in town and you also can provide food or rent out part of the property for other business purposes, etc.