Bad policies that may allow SOME investors to make more money because of short supply neglects the following:- the marginal increases in the net worth of some investors is far outweighed by the overall losses to other investors and the community because of lost opportunity, etc in that market.Your last comment is all that really matters - the policies that we all seem to agree are bad -have the complete opposite effect of the intent (but it is not a good basis for an investment strategy)Frankly I am not really sure what your point is. 

Ultimately, I sold the property for about break-even because of personal circumstances that changed in my life.

Tenants will tell on each other and describe other issues that have been ignored or neglected that the inspector didn't see.Once I've built that rapport, then I start my rent increases. 

I’ve skimmed a few of the current book offerings out their on raising capital, and can tell you that they either neglect or under emphasize the most important assets neededHere’s a short list of what someone raising capital needs to be successful.  

All your points are valid in any circumstance so I appreciate the information.

Hey Ryan,First off, I do recommend sitting down with a tax professional so that they can understand your specific set of facts and circumstances. 

I agree with Colin, everyone's circumstances are a little different and while I would take feedback from non-CPA I would only trust a CPA with questions that are that delicate.

As Greg said, as soon as they owe you money, file notice to quit and any rent that comes in after that is put towards the monies owed first.Under no circumstances would I extend or renew their lease. 

While a deposit is almost always preferable, you should make a common sense business decision based on the circumstances and condition of the property, in my opinion.

Looks like more complicated circumstance than I expected.