Just sharing some thoughts re my own rent collection system search. 

Your future leases should include that this is your process. 

Tell them to re-apply, since their application has already been denied?

I understand that passive losses cannot reduce your taxable income and must be rolled over to be subtracted from future passive income, UNLESS you meet the special allowance that says you may deduct up to $25k in passive losses from taxable income if your modified AGI is less than $100k that year.

My point is that observing the 2008 GFC it seems like interest rates are a leading indicator for future delinquencies, and that delinquencies tend to lag by about 2 years.Should we expect something similar to happen again in the current market?

It'll be the best $500 you spend and it's a write off.

After being laid off for the 2nd time in 5 years, I started looking at ways to stop relying on a W2 to provide for my financial future.

@Daniel ZapataWelcome to BP, and congratulations on making the decision to invest in your future via real estate.I have written a few blog posts that may help you get started here on BP, and with your investing.

Passive income was one of the biggest reasons for my second acquisition, I am trying to build a nest egg for my future self.

Passive income was one of the biggest reasons for my second acquisition, I am trying to build a nest egg for my future self.