The initial investment is providing a loan, there is no tax write off.Similiarly, there is no income recorded when you receive the loan proceeds back.The only time there may be a potential write-off of the original loan amount is if the borrower is not able to pay it back.

Your scenario also assumes the property is paid off and that there is a lot of nontaxable proceeds from the sale to invest.

If the sale of the house proceeds, I’m curious about the potential net gain after factoring in the 5% realtor commission, closing costs, and any bank penalties for early mortgage termination.

Note: there is nothing regulating the number of nights per year an STR can be booked, only a recommendation by some ex-host now E&L employee’s recommendation for 183 days, though at no time will that be cited in proceedings, but seems its certainly being used against 200 or so denver hosts this year alone.

If your partner has lived in the property for at least 2 years during the past 5 years, she doesn't have to pay any capital gains if the proceeds are $250K or less. 

I've got architectural bids from several companies and that is where I felt road-blocked due to lack of info and no experience on how to proceed.

Hi anyone with a recommendation for a tax expert experienced with handling proceeds from a lawsuit involving defective building material.

If I can sell it and use the proceeds for something with a better return, that's what I would do. 

I believe you can proceed with the termination. 

And use the proceeds to buy the multi family.