I'm saying that if you had the option of paying taxes on $50K or $21K, legally, all things being equal, which one would you pick? 

couple of bullet points to bring up:* she's on M2M* I told her on 12/7 of the new rent which would apply to a new Jan. 1 effective lease, this is when I got the "I'm moving out" message* Sent her the move-out letter on 12/11, with options for her to either be moved out by 12/31 (she's fully paid up for month of December) or by 1/11 (30 days from date of notice) and pay a pro-rated rent based on her CURRENT rent amount. her choice, either is fine with me.With all that said, I'd love to do as you mentioned and post a notice on her door. 

Remove the kitchen all together and convert it back into two duplexes or is there another option?  

You won't find many refinance options on these types of projects besides going the SBA or USDA route most likely.

We still owe roughly $900K on a 3% mortgage.We’re planning to retire abroad and are weighing two options:1.Sell the home – I already have a buyer lined up, so this would be a straightforward exit.2.Rent it out long-term (furnished) – While I don’t think the rent will fully cover the mortgage, it might come close.

But if presented the option between multifamily real estate and single-family house hacking I think that multi family house hiking is superior.

You also have the options of the 2 + 1 which is a 2F with a boarder unit that an owner can live in, but likely can't rent after you leave so it's only a temporary solution depending on how stringent the municipality is.Your VA gives you lots of options, but you won't cash flow if you use at 0 percent down because rates are too high.

I've been researching the topic of limited liability and the different options to achieve this.

Another option I forgot about was to just cash the policy out.

In addition, i would like to discuss other opportunities and options.