RE (STR) Investing to offset W2 income/tax

[Bryan Lajoie]

Planning ahead for FIRE, we would like to start accumulating more RE to use as short term (Airbnb) rentals. We like the idea of a furnished, marketed short-term rental over something longer term as it offers the ability to ‘optimize’. Niche property, controlled operating costs (solar/battery), themed decor, unique amenities, SEO etc. We would part-time self-manage now and then plan to go full time during FIRE.

We would also like to use these vacation rentals whenever they are available for leisure / repairs, skirting the lines of this being a win win cashflowing-2nd-home type arrangement. All are planned to be near the beach. In total we are shooting for 3-4 local STR properties.

Strong belief that 1) CA coastal RE will continue to appreciate and offer long term benefits and 2) inflation is here and now is the time to lock down as much record low 30-year fixed rate leverage as we can.

While it seems to be difficult to use RE to offset much of our W2 income there may still be some additional benefits? Short of one of us becoming a RE agent, are that any others means for RE investing to offset W2 income? Could purchase a new vehicle (Cybertruck?) for GDW vehicle write off. Home office write off. Utilities etc. others?

What am I missing here ? Reasonable plan? Or should we just be buying $140k long term rentals in Alabama