My wife and I faced that same tough sell/keep dilemma, and for our rental we decided that keeping it, while retaining access to equity was the best of both worlds.

I'm retaining this property long term.

This will help demonstrate the amount of the loss you are writing off.Interest Rate Changes: If you're modifying the interest rate, specify the original rate and the new rate.Loan Term Changes: If the loan term is extended, provide the details of the extension.Acknowledgment of Default: Include a section where the borrower acknowledges the default and the past-due amounts.Professional Advice: It's a good practice to seek legal or financial advice when structuring the loan modification to ensure it complies with any applicable laws and regulations.Keep Records: Retain copies of all correspondence, emails, and documents related to the loan modification.IRS Reporting: Report the loss on your tax return.

There is also 2 years of college with some specific business class required.A broker would be ok with an agent who's only intent was to buy their own homes off the MLS because the broker would retain the brokers cut of the commission on said homes.Example: You are hired by a broker at a 60/40 split and you buy 10 houses a year off the MLS.

The Tax Cuts and Jobs Act (TCJA) implemented in 2017 retained the preferential long-term capital gains tax rates, providing lower tax rates for assets held for more than one year.

Also, note that excessive front-loading may raise red flags with the IRS.The remaining profit can be distributed as bonuses, dividends, or retained within the business, but it's important to ensure that the total compensation (salary plus bonuses) is reasonable and justifiable based on the shareholder's contribution to the business.Remember that working with a tax professional or CPA who specializes in real estate and understands the specifics of your situation is crucial.

These can reduce your overall tax liability while helping you attract and retain talent.Real Estate Professional Status: Depending on your level of involvement in your real estate activities, you might qualify as a "real estate professional" under IRS rules.

It seems that we would cash flow $400+ on the rental, retain all of our equity and upgrade our residence.

You will receive an Addict award along with a habit; as well as learning and retaining useful real estate information without struggling. 

After the escrow closes, sellers often retain the right to discount the second mortgage, sell it for less than face value to an investor.