In my neck of the woods they would actually condemn the house and declare it unoccupiable, i.e., they would literally lock it down with huge sheets of plywood. 

More than any other business, deciding to invest in a real estate syndication is a declaration of faith in the deal sponsor.In many ways, that faith far outweighs the faith owners of Tesla shares must have in Elon Musk.And Musk is a one in a generation entrepreneurial genius inventor.Like many seasoned real estate investors,I decided long ago that wealth-building was a life-long game of patience and perseverance.On both counts,a real estate syndication fails the test.Most syndicated deals have a hold period of 3-7 years after which the exit strategy involves selling.The few that attempt to hold on to the asset via a refinance run into uncooperative investors who demand their seed capital back for various reasons,often resulting into a compromise to either buy them out or risk a legal battle.The facts of the matter are very basic:if it's not your deal,you don't make the big calls.Conversely,if it's not your money,you don't get to decide it's final destination.Now there's a good reason I never got into the flipping niche either.I'm not a transactional guy.It always felt like slaughtering the hen that lays my eggs,and I love my eggs to bits every time they are laid.It's why I keep going back to the hen.In the end,we don't need 1000 units to achieve financial freedom,we just need a handful of well acquired cash flowing assets to arrive at that place of peace.With some patience and due diligence,most people can get there without sleeping with 75 strangers every 3 years only to end up with no portfolio and a bagful of inflation susceptible cash with little to no tax advantages.That's where we did not want to be in the first place.If you do succumb to the temptation and end up being one of the few deal sponsors that actually look the part and take care of investors' money like it's yours,do make sure you haven't "quit" one job that you hate just to work in another that is even more soul-crushing.Managing multiple syndicated deals as a good deal sponsor can be big business,and big businesses can very easily turn into time-devouring leeches.Covid has shown us all we are nowhere near capable of seeing 3 months ahead,let alone 3 or 7 years.An asset is only really worth what the next buyer is willing to pay for it,no matter how much "forced appreciation" we have projected to investors in a rent drop environment.When balloon payments come due,thou shall sell or refinance,and good luck refinancing if the LTV is suddenly inverted.When the pieces suddenly don't fit the puzzle in front of us,the sinking feeling in the bottom of the stomach can be incredibly gut wrenching.Be careful.A voice in the wilderness,Jacksonville FL.

I understand the lenders side of this and I agree with them.If right now something happened forcing you to declare bankruptcy, this property and all your other personal assets would be considered.

Post a notice on all doors notifying the tenant that the property is declared abandoned and you are starting the eviction process.

“Hopefully” your loss was greater than your depreciation recapture or they could easily come after you for that as well...(3.636% of the building value every year it was a rental, so it could be a big number on a long term rental.) if you didn’t declare the depreciation that alone probably would have more than paid the cost of having a professional do your taxes and you still wouldn’t be paying it back if it was a big loss. 

., which at that point the associate told me the money has to be declared which would be 1.4 billion usd. 

Like anything, it's not about the game it's about the practice so you have muscle memory to make the right decision in the game without thinking.If you look at anyone at the top of their field they have some type of coach and/or mentor, no brainer in my opinion.

I forgot to add that you only need a U&O permit on a property that has been declared vacant and that would show on file with the city code violation department. 

My thinking was my net worth was 0 anyway, and you can’t go lower than 0 since you could always declare bankruptcy.  

A fine may not exceed $100 per violation against any member or any member’s tenant, guest, or invitee for the failure of the owner of the parcel or its occupant, licensee, or invitee to comply with any provision of the declaration, the association bylaws, or reasonable rules of the association unless otherwise provided in the governing documents.