I have designed, built, and own (very) small scale (500kW) solar farms and in my world, I learned to always look for the word 'exemption' to make sure I'm not wandering in territory that will cripple me financially. 

I have a tenant who terminated their lease early in writing due to medical reasons.

You've lost your primary exemption, it's been too long since you've lived there.

Both my husband and I work in the medical field & traveled for a few years, so we are interested in hosting traveling nurses in Nashville. 

(To qualify for section 121 tax exempt on portion of sale.). 2) what do you think your net profit would be after selling costs?

Most insurance companies will throw $500-$2,000 to someone for medical if they trip and fall on something, as long as it isn't seen as a hazard that should be fixed.

We are 5-10 miles from a handful of major medical centers and facilities. 

The primary purpose is to assist eligible veterans in purchasing, building, repairing, retaining, or adapting a home for personal occupancy.Asset Protection Strategies: If your goal is to protect your assets, there are other strategies you might consider:Insurance: Obtaining adequate insurance coverage, like homeowner's insurance and umbrella policies (as @Greg Scott mentioned), can provide a layer of protection against liabilities.Homestead Exemption: Some states offer a homestead exemption that can protect a portion of your home's value from creditors.Trusts: In some cases, placing the property in a trust can provide asset protection, although this can be complex and requires legal expertise.Legal and Financial Advice: It's crucial to seek advice from legal and financial experts.

I recommend you print, study, and highlight the HUD guide: https://www.hud.gov/sites/dfiles/PA/documents/HUDAsstAnimalN...You should also check with a local HUD office to see if they have any additional guidance they can provide you.Keep in mind, not everyone is subject to Fair Housing requirements and you may be exempt from allowing the ESA! 

Per them it is standard practice to be aware that exemptions would be removed at certain point and back taxes will be charged.