We are currently breaking even on the property before depreciation expense (we are holding on to the property b/c it's in an area where the appreciation is high), can the "unused" depreciation expense be carryover as PAL to be applied against capital gain when we sell the unit later on?

In general, I have seen some advice to go with 50% as your NOI after you take your gross - your Vacancy and to use 10% vacancy as a rule of thumb.

Nothing has changed.If your mom has not remarried when a residence is sold or exchanged, the surviving spouse's period of ownership and use includes the period your dad owned and used the property.Mom can use the full $500,000 exclusion if (a) the sale occurs not later than two years after the date of death of the spouse, and (b) the rules permitting a maximum exclusion of $500,000 were met immediately before the date of death (including ownership and use by the dad)

Tenant has managed to pay rent every month (always right before late fee deadline and with late fee twice),  however - he keeps breaking other rules every 2nd month (some minor, some major - pets/noise/parking etc), which HOA keeps objecting and sending notices. 

I also have about 55-60k I could take against the equity in my house in keeping with the 80% rule.

And the Alaska court ruled (quite unsurprisingly) that Alaska law does not apply in Montana.

But it is better than nothing if correct rules are followed, it should provide a liability protection.

There are a lot of rules that must be followed.

Plenty people will try to tell you otherwise and plenty will agree... but whatever route you take, you'll find out how the answer applies.

You will have a hard time finding anything that the numbers work with (referring to the 1% rule.) in Cedar City or St.