Anyway, don't want to derail the thread with a pro-cop, anti-cop thing.  

@Sarah JonesYou've inflamed some passions on this thread. 

Only a guy on meth would have such a laser focus on anti-wholesaling!

We had another guy (I'm guessing his diagnosis was anti-social personality disorder with the jealous subtype).

Area/location risk - an area or location might decline over time due to loss of a big provider of jobs or change of city government from pro-landlords/pro-business to anti landlords/anti-business.

If your friend can't do what he was supposed to do to this point, and he's behind by $5K, and then goes into debt another 2.5K to you, and that's just to get him to the next draw - and he's still got $36K in draws to go.......I just see this imploding.So, as someone else mentioned, if you're willing to give your friend the $5K to help him try to make this work, with no expectation of getting it back, that would be a really nice thing to do.On the other hand, if it goes down in flames and now he's lost the $5K & the $2.5K extra promised to a friend, it seems to me he'll feel terrible about that and that might not be doing him any favors either.I tend to only do deals with friends where I'm guaranteed to get what I need out of the deal, and in those instances, I'm very generous. 

Looking into rental in states that are not 100% anti-landlord.

Not nearly 50% rule but the house is in a high demand coastal city of Santa Cruz CA with limited new construction boxed in by silicon valley and the ocean, not to mention the city planning's anti-building codes.  

It’s only been 2 months.I can’t figure out what is motivating the guy to behave in this manner.He’s started avoiding me (which is fine, because I’m anti-confrontational and I'm quite angry right now), but I think we probably need to sit down and have a chat to get this to stop.The property code inspector actually recommended that I seek out a mediator to help deal with the guy because he's been repeatedly calling him about the violations.Would you cut bait and run?

If you can make a legal argument for why you are denying someone with a companion animal, showing you didn't intend to blatantly just discriminate against them because they had one, then I really don't see any huge thing to worry about.I know this because I had a legitimate discrimination case in California, which probably has the most stringent anti-discrimination housing laws in the country - and it was a joke.