I have  a W2 job and look forward to the losses this year to offset some of my income (Not my 'WHY' for running an STR, but a nice bonus).

Sell your property for a loss and invest in a nice place where people who make more than $ 8 an hour working at Poppies want to live. 

I've accepted that I will take a significant loss on this, and have already learned a ton from it, but I would like to reduce the total loss as much as possible.

Also, focus on 2 years of job/income stability.Section 8: This is the Property Class S8 was designed for.

We work with lots of clients that are high earning professionals and are looking to start investing in real estate and we provide a simple solution that doesn't take away from their main focus of their high earning job.

I'd sell #1, even if you have to take a loss on your equity.The market does go up over time, but most markets seem to be stagnant right now, so when does that change?   

@Joel OhA regular insurance policy can refuse your catastrophic loss claim if they find out you were renting your house as an STR.

Is your Adjusted Gross Income over $150k where you can't reduce your income with rental losses?

How about '09' jobs lost?

So that first year may be a 2 to 3k loss or break even unless he gets lucky.