That amounts to a loss of $6240 in cash flow per year.2) Property Tax discount of $466 per month is for the first year. 

We share the profits and split losses if any 50/50.  

I had clients in PHX  and Vegas that lost their 4 plex's because they went 100% vacant and stayed that way.. they owned 4 or 5 of them.. it only took about 3 months of negative cash flow and they were done.Max leverage loss tenants  lose property.. that's the formula..  

Keep in mind the more you write off the less money you will show as you net.If you have (2) full years and depending on how the accountant files your taxes you will have a schedule C more than likely or another schedule that shows profit and loss.

And for example if they see a property was taken back by the bank and is not shown on the track record as a huge loss, then that is another type of red flag.Internet searches can also be done on the sponsor looking for lawsuits, etc.

If the tenant has a reasonable explanation and a solid plan on how to recover we will work with them.You are asking the right question: how are you planning to pay double rent next month?

I still think if I would have worked it out with them rather than jumping straight to court, I would have taken a smaller loss.

Unfortunately, I see a growing trend of a lot of service members renting their homes at break even rates or at losses.

If you miss on fence, landscaping, etc, these are small and you can recover. 

But because he raised rents each year, and rents were increasing by ridiculous rates, tenants constantly moved, had to sell the property at a loss several years later due to constant vacancies.Finally, the most interesting situation I ran across was a tenant, a 93 year old tenant paying rent on a 2BR apartment for $90/month.