Or will you be subject to the passive loss limits? 

This is because REPS reclassifies rental losses as non-passive, allowing them to fully offset active income.

Our attorney told me just return the money as the brain damage of going to court and potentially losing (court is really just rolling the dice - small claims court is not about justice and the law but what the "judge" thinks is "fair") is not worth the possible gain.We always sign a lease and any funds paid are first applied to rent and the SD is collected last.

was there any total loss?

They are now selling resulting in a 100% loss for investors. 

What are the comps selling for (last 3-6 months)in the neighborhood?

So losses from that specific rental may be utilized.  

we have had record year last two years in the following.1. new construction2. flipping in the sub 250k range in secondary cities3. land flipping 4. land development for sfr and flip to national builders.No slowing down in 25.what we dont do or did do was rentals.. everything but. 

This means the $80K LLC profit is subject to both ordinary income tax and self-employment tax (15.3%), regardless of your high W-2 income or capital loss carryover.

From my experience, Aircover has been covering loss of income if there were bookings for those days.