It doesn't feel right to take a monthly loss on an investment property but it could be worth it for the short term. 

Talk to your insurance company - depending on your deductible and potential increase in future insurance you may or may not want to put in your own claim.I would also probably consider cutting my losses and getting rid of the tenant asap.

If the STR is placed into service at the end of the year, they can use the paper-loss from the STR to 'potentially' offset other forms of income such as wages, interest, dividends, etc.Best of luck

In a short sale with a partial claim, your first lien position with the FHA loan takes the loss so the claim can be paid in full.

Then i would look for a portfolio loan from a small local bank, usually better than the bigger banks. 

I joined Bigger Pockets in the hopes to connect with like minded individuals who would like to mentor and or just overall help one another so that everyone can be confident and achieve the best possible outcome as we embark on this Journey of investing. 

Hi Bigger Pockets Community, Excited to read and learn strategies from all of you.

Just as the tenant won’t voluntarily move out before lease termination because I found a tenant willing to pay more, I won’t suffer a monetary loss because they can’t or won’t fulfill their contractural obligation.  

@Brian FulmerWelcome to Bigger Pockets. 

Welcome to Bigger Pockets Ray!