If you haven't hired an attorney I might consider doing so as this situation sounds like it could get ugly. 

However when my friends moved out and I started renting to strangers, I found the high turnover rate and overall living situation to be much more challenging.

Largely depends on the full situation and value, but feel free to reach out if it would be helpful to look at some options. 

What are some ideas should i explore so that I can minimize the financial loss in this situation especially given I cannot refinance even if the rates were 0% as my property value won't appraise.

If you explain the situation, perhaps he can give you some grace on getting it done in a more reasonable time.  

It's good to hear from someone who has been in a very similar situation.

I'm in your same situation and also prior service. 

There are two idea I’m batting around in my head right now to get started on my REI journey – I can do it purely on the investing side and become a private lender or a source of hard money loans to builders/developers (maybe that looks like funding a construction loan collecting interest payments while buying time to better understand the dynamics and build relationships) or I can JV/partner with a builder and get equity (upside on a flip/sale) which would be more hands on.Curious what ya’ll input, what you think is the best route for me to dip my toes into REI given my aforementioned situation and current market.

Most plans will pay for temporary housing for situations like this, so at least you don't have to worry about that aspect.Also if you want attorney advice on this situation I recommend the attorneys at www.evict.com.

If there's any indication this is a high-risk situation, then I would require two months of rent as a deposit.