Let me give you 2 scenarios to help make my point.Scenario 1 - Investor A has a few properties, lots of stocks, lots of liquid capital, decent retirement, high income earner, single, no kids.   

 @Lynnette E. thank you for the input.  

If you use it and claim it as an investment, you'd need a schedule E to report rents and likely a Schedule C for the "business" reporting. 

She probably won't and you'll have to use the deposit.If she's on a long-term lease, then you're stuck with her until it expires.

:@Nathan G.I'm having trouble finding 1613 E 83rd St on Google Maps, Nathan. 83rd Street seems to be in East St.

Having rental history via a schedule E in your tax returns would help, but an executed lease agreement and proof of security deposit and/or rental income received should suffice. 

My number one priority would be liquidity and the "true" passive income of an index funds.

thak you e

I have liquid cash that I can lean on if need be; however, the lack of cash flow is not the best financial decision.

So in this situation, if they had to foreclose, they may be picturing the long, expensive process of needed to evict a few "residents", and then the haul-away and disposal costs for a couple of large pieces of "debris", before they would have a marketable piece of land to liquidate.