This is a taxable event so be sure to run the numbers with your CPA so you are fully aware of the tax consequences. 

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Federal Regulators including the Federal Reserve and the FDIC look at a sampling of each bank's loan portfolio and they apply a "grade" to each loan to come up with a quality of the bank's loan portfolio.

Do you keep your taxable income high to look better on paper or do you write it off as far down as possible to keep your tax burden low?

Be forewarned though, Federally backed loans will not allow an unsecured loan such as this to purchase a property.

Talk to a tax person - the Federal tax law makes some exceptions like moving for a job. 

If that amount is under 200k no federal taxes?

While the tenant had paid on time and the money had been deposited into my account, it was pulled back out of my account in the middle of the month per federal law.

I know how to calculate my New Worth, taxable income etc . . . 

Regardless, it should be long term capital gains on the taxable profit.Another thing to think about is most lenders will want to see 2-3 years of tax returns with your non-W2 earnings on it, if/when you apply for any new credit.