However, they are hard on the physical property. expectations before they move in matter most, if you share the clear rules about what is expected, and what isn't, and remind them that you are connected (even from a distance), I expect it could turn out well. make sure you aren't putting in high dollar nice things.

@Johnny Lynum we did offer them an aggressive cash for keys amount to get them out as soon as possible.

The worst is when they don't tell you they are moving out and leave behind enough stuff that you are not sure if they are coming back for it, and they ghost you.  

I intend to buy another multi-family home in 2025, but not sure I would want to move.

Consider checking with some neighbors to see what their water bill looks like.I'm surprised they back-charged you for previous under billings in October 2024....i thought the bill was just adjusted moving forward. 

As far as home office no longer being an IRS "red flag" I guaranty that if you put a home office deduction on a personal return on Turbo Tax it will move their audit risk needle.

Some of the moves you made are of the logic gamblers use when they're down at a table. 

@Michael Goddard Moving forward add to your posts where you live and/or where you intend to invest.

For example, your tenant will change their cat's environment by moving to your apartment.

Is it turn-key, or deferred capex?