I guess as I am writing this, Im not entirely sure what else I would want to invest in!  

Make sure you get everything in writing ahead of time if they are going to be involved in the business.  

So we set that max credit line (80% LTV) based off these inflated prices, when the market turns we'll just write a check out of our credit line towards the next purchase. 

If they are VERY professional, they will have their processes in writing as verification that it is enforced equally and fairly by their entire staff.6.

Pointing out that you could exercise the option to execute the estate's coverage of the lease, however you really don't want to do that and if you can mutually (always in writing, even on friendly terms) agree to another, lesser timeframe it's probably beneficial for both sides.

The funds would be considered a distribution and not necessarily a write-off.You would have an increase in basis of your personal residence which will be beneficial if you decide to sell the property or decide to convert it to a rental property.

The government is writing debt with the first stimulus checks which I can understand but still is a concern.

@Alfredo CoriaThere is a little confusion on what is trying to be communicated by your accountant unless he is doing it 100% wrong.You are eligible to write off expenses as they relate to your rental.

But a 1031 exchange where you replace that real estate with other investment real estate (of any type or passive or active) allows you to indefinitely defer all tax on gain and recapture of depreciation.In your case with the right replacement you could turn this sale into a completely tax deferred sale that also reduces your net loan liabilities personally, provides income for you, and adds depreciable basis for you to write off. 

But this is a great time to get it in writing.