I understand her concerns and her thoughts but she could have done it in a professional manner.

Lawton definitely has its reputation, and you're right about the single-industry concern and the high crime perception, which makes it counterintuitive for many investors.

A bigger concern is someone who clearly fits the rules as they are written and intentionally acts in good faith, only to have the IRS comb through their time logs and arbitrarily finds some of those time entries invalid and/or inflated.

The negative cash flow of your RE gives me no concern.  

. :)As I comp my 3/2.5 primary residence on FurnishedFinder and Airbnb, I saw a lot of availability around White Rock Lake, which does concern me somewhat as I would need to cover the first mortgage with rental income.  

If your concern is liability, what I did was get an umbrella insurance policy on the properties I house hacked under my name.

Land trusts can be an ideal choice in Florida, especially when working to shield properties and address Due on Sale (DOS) clause concerns effectively.

It's a good concern.

There are good selections of rugs that you can wash to place under the bed for warmth if that is your main concern. 

But I draw the line when there is risk of damage to the property, annoyance to the neighbors, health concerns, pests, etc.