First, each property needs a Landlord  policy(LP), which provides fire, protects the lender from loss and you from public liability (some up to 1mill ).Second, an umbrella policy adds protection on and above the LP.I hand each tenant a copy of Renters Insurance so they can protect themselves.

Or, someone realized they had screwed up, and are dumping them at a loss to minimize further losses.You guys do realize that to collect your money, if they are not redeemed , you have to send them to a tax deed auction.  

One thing that threw me off recently was that a lender required for me to get "Rental Loss Insurance" .

In the long run, does it make sense to keep on pumping money to keep these properties afloat or should I bite the bullet, sell them at a loss and settle with the bank?

I corrected it above.The last chart on this site:Calculated Risk Unemployment Chartshows the percent job losses relative to peak employment month.

I had only invested a few K so the losses didn't break me, but it did make me very skeptical of what would have otherwise been seemed a good investment.

This tax is applied to your profit which will be revenue less expenses less depreciation.My "Year 1" for a property is almost always a tax loss due to closing/finance and repair costs to prep the property with only a partial year of rent. 

. $5,000. claim on rent loss. 

Conversely, you have a vacation home that is empty 50 weeks of the year, occupied by you for 2 and you claim a nice business loss: get a new nice orange jump suit!

Any junior liens would cloud title and taking a DIL would mean loss of priority and power of foreclosure to clear those junior interests.