Third step: Start Steam again
What we did until now is to reset all local Dota 2 data and disabling Cloud. Now you start Steam and you will install Dota 2 again. Then you start Dota 2 and you check if everything works correctly! If this is the case, you go to Steam settings > you activate Cloud again and it will ask, if the old Dota 2 Cloud-Data should be deleted and overwritten by the new one you created. Here you say YES. You do not want the old one which do causes problems.
Now everything should work!