(the lease states no refund of rents)2. doesn't PPP and SBA loans cover this loss for them if they apply and receive it?

I'm currently torn if I should continue pursuing a tenant to fill the vacancy (~$2500/mo) or just take the loss and prep the house for sale.

The good news is that you can add back your paper loss of deprecation, and your cash  deductions of insurance, mortgage interest, property taxes, HOA dues and even one time extraordinary expense. 

They are increasing NOI so significantly that cap rate loss should be absorbable.  

Fire damage rendered it a total Loss.

When using hard money, you are able to spread your capital across multiple deals, rather than putting all your cash into one deal and taking a loss.

It showed a loss of 490k full-time jobs. 

There is an Aurora bank in New Jersey but they are not afilliated Telephone # for loss and mitigation is 866-570-5277 press 0 FAX for LOA and SS Package 877-649-0743 If the servicing agreement is being transferred, this certainly can cause a delay.

Short sales usually require a hardship letter to the lender explaining your hardship (job loss, death in the family, forced relocation, divorce, medical bills), your lack of assets and your lack of income.

Any smart drug dealing business man would cut there losses if they aim to stay under the radar.