As you note exiting any RE that does not have some appreciation of a significant amount over say a 5 to 10 year hold generally speaking is going to lead to a loss at sale.

I can pursue a legal action against the tenant or Baselane, but this will cost me additional $2-3K in legal fees besides dealing with a loss of at least $5K of rent and damages caused.

Both careers would see a sharp short term income loss, but once i'm established the money i'll make ought to be comprable to my next year income.

There just generally a thought loss in the U.S. for real actual innovation for far too many years.

They can claim business overhead expenses, and they must file 1099s.REPS determines whether the resulting losses can be applied against your W2 income or not.

This is because they didn’t budget properly and rent wasn’t high enough to cover actual expenses (repairs and maintenance, cap ex, vacancy and loss, tenant damage and turnovers, etc don’t expect to have any money left over after all of these expenses are accounted for if the rent is less than $1,500/month). 

You may just have to take the loss and move on.

If you reported a lot of expenses and showed a loss, then the loss will be treated as a liability in DTI calculation.

Bitcoin hasn't completely become uncorrelated, I think when people are hedging risks, they will cut whatever losses, wherever they can. 

The most likely scenario is that his renters will eventually do something that costs him a significant loss, despite cutting them a major break for so long.