Canadian Investor looking for best method to invest in the US

[Daniel Strange-Dedier]

I am a Canadian investor who is looking to purchase my first turnkey property in the next couple of months.

As I am a Canadian resident, who is looking to build out my real estate portfolio.
For tax purposes, I was thinking to form a American LLC, and have the LLC own and hold my properties (as I would like to accumulate at least 10), and reinvest the cash flow from the home, into buying more properties.

I wouldn’t begin to pay myself until I have adequate cash flow. Not sure if this will be the best idea for Tax purposes, and financing purposes, as I would need financing on any properties I buy. I can provide 20% of purchase cost.

I know, as a Canadian owning the property directly, I would be subject to a 30% foreign real estate tax, or something along those lines. Therefor I hypothesize that forming an American LLC for the properties, and owning that LLC would be the most advantageous.

Please let me know if you have any insight, as I would like to begin purchasing property within the next couple months.

Thanks,
Daniel Strange-Dedier