I don't know how much debt you have in the place currently or what your basis is, but a 1031 offers a good deal of flexibility for you regardless and would allow you to move into a more diversified portfolio, potentially even using your other cash to expand the exchange further, and defer taxation on a pricey piece of RE.

With any entity consideration, it's always good to consider things from 1) Insurance, 2) Taxation, 3) Legal, 4) Financing perspectives - would be fun to get your attorney, insurance agent, banker/mortgage broker and accountant together in a room and get the lowdown on S-corps, LLC's, trusts etc, to see how they consider each of these from their viewpoints!

This gave me the ability to contribute up to $5,500 pre-tax at my own discretion to limit my tax liability come tax season. 

If you are using the LLC to provide a product or service and generate earned income, then that LLC could sponsor a Solo 401(K) plan.Generally speaking, if you qualify for a Solo 401k - both today and for the long term, there are some advantages to the Solo 401(k) format in terms of higher contribution limits, elimination of UDFI taxation on leveraged real estate investment and a few other factors.  

You need to be careful not to be providing services or adding value to the IRA personally.Such transactions will have exposure to UBIT taxation, since they are considered a trade or business and not passive investments.  

I am looking for advise from people who have experience working with foreign investors, that can help me with: taxation issues, financing, what areas within the US to invest in etc..I have $100k US to invest and am open to looking at SF and small MF homes.Thanks for your time,Regards,Amin

If you assign a contract, never taking ownership vs double closing, is there a difference in the way you will be taxed? If so, what are those differences.

@Brandi Davis,It depends.C-Corp is the least desirable due to double taxation of income.

Real estate typically held in LLCs since they have relatively strong asset protection, ease of transferability, and default to flow-through status for tax purposes, which can be more favorable for real estate investing.Corporations, have ease of transferability, but taxation is generally less favorable.

It is NOT too good to be true, it is an awesome loophole to our taxation system; the money you pull out is not taxed.