You'll want to keep track of these because they can Increase or decrease your at-risk amount and as a result the losses you can take as a partnerYou or your CPA will need to report these on your IRS Schedule K-1s for each of the partners in LLC. ...

Quote from @Landon Mizuguchi: @Michael Plaks if you're living in the house and renting rooms  (e.g. room hacking) you can't claim losses?  

The only thing is WY LLC will flow through the income and losses to our individual CA return. any insight on this matter is greatly appreciated as I’ve heard and saw conflicting things regarding LLC needs to be registered in CAthank you ! 

So, an overleveraged property that had no equity to begin with and now an additonal loss from the costs of selling.What could go wrong?

It’s emotionally draining, but I’m determined to honor his legacy by building a real estate portfolio, just like he did.On top of that, I’ve faced a lot of loss in recent years.

This is great of your accountant who may choose to advise that you liquidate shares during a tax year where you realize some loss elsewhere.

Some carriers offer loss assessment insurance, which can come into play when the HOA experiences a large covered insurance loss, such as a hail storm requiring roof replacement or a fire requiring building replacement.  

The easiest way to start is to go into your local branch banks and ask for their loss mitigation department, and once you get the right person, ask how you go about buying their REOs.

While you can save huge dollars by increasing the deductible just a single percent, the downside can lead to catastrophic cash shortfalls in the event of a loss. 

By this time 18 months have passed and the property through neglect, no maintenance, loss of tenants, etc. may appraise for significantly less than amount owed.