If you are not Materially Participating, the loss will be reported on Form 8582 and like be classified as "Unallowed".The ordinary loss from Schedule E cannot offset the Schedule D capital gains. 

I've been on the western slope for over 30 yrs.I built my primary, its; Slab on grade, stucco, concrete roof, painted with E-84n roof soffits and tailings fire caulk (anti-ember) vulcan fire vents, 4 car wide concrete driveway, extra large house numbers, red 3/4" hoses on reals @every corner, completely denuded of vegetation 100ft.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $145,000

Cash invested: $15,000

Sale price: $180,000

2017, I tackled my first fix-and-flip—a 2004 double-wide m...

But you are required to file a Schedule E in the US every year showing the total rents you received, the expenses you had against those  rents and your subsequent profit or loss. 

E Equity, how much of the home will you own on day one.  

Dealing with PG&E to relocate the meters due to proximity to gas meters.

And we are just beginning.Norada Capital Management ( Link )30251 Golden Lantern # E-261Laguna Niguel, CA - 92677-5993Professional poker players call it a “tell.”

@Marc Zak Using an LLC for each property provides strong liability protection by isolating risks to individual assets, with income and expenses flowing through to your personal taxes on Schedule E.

The draw is actually this coming Fri for 2026The market for STR seems saturated in popular/touristic regions, however, if you have a unique property and offer affordable pricing, you may get descent occupancy. 

A lot of the popular markets have maps created showing class but I'd take caution using them.