Consider showing it as a loss in your taxes.

However, I'm already moving in markets, but I see this as a potential opportunity, but the opportunity cost of moving on it without a solid way of analyzing it isn't worth the loss of returns in another investment.

I'm going for an Actual Cash Value policy instead of Replacement Cost.1) Should I get the loss of rent option?

assuming they are $650/month per unit, a quick back-of-the-envelope analysis shows the following:$650/month rent x 8 units x 12 months = $62,400 gross potentialless 15% for vacancy, loss to lease, concessions, etc = $9,360Effective gross income (EGI) = $53,040less 55% expenses (estimate, you need to verify expenses) = $29,172Net Operating Income (NOI) = $23,868Applying a 10% cap rate to deal (I can't imagine it is 13% if it's in a decent area) = $23,868 / 10% cap = $238,680 value

If there is a loss you also share.There should be an expectation that a equity partner will make more than a debt partner.Bill

even at a loss?

You can also check out my new home build thread where I cataloged the process from beginning to end here on BP:http://www.biggerpockets.com/forums/44/topics/1362...Some things to consider:1) Make sure you get builder's risk insurance to cover the cost of the building during construction in case of fire/loss etc.2) Make sure your GC is insured and his subs are insured.  

We do as much as we can to limit the loss.

Then it's a positive return on investmentIf you sell gold for less than you bought it for it is a loss and a negative return on investmentPlease don't buy anything as an investment

Due to local city harassment like Fine over fine for trashcan on the driveway and other nuisances, plus insurance rates tripled cus heh insurance knows when an area goes class D and also thanks to street neighbors who looted the property 3x times while I tried to rent it, I simply cut my loss and moved on.