If I read the story correctly, your client did not report rental income.

The US taxes global income which dramatically increases the reporting requirements.

But the trick is they claim very little income or never file taxes at all .

Jaycee, it will likely be personal income with other money coming from a lender.

Every where you turn there are STRs going up on the market fully furnished because they couldn't pay the mortgage and bills with the rental income. 

There is no current tax on rental income and capital gains.

Lots of depreciation you will pay no tax maybe even shield some W2 income.B.  8k maybe 10k if you pick the right guy to lend your money to in interest income you will be paying much higher tax rate on this income FYI no depreciation expense. 

Expanding your portfolio, streamlining tenant management, diversifying income streams, building a network, and planning for growth are also recommended.

Im doing it more for the love of learning the process and to make a side income.  

If passive income and ease of management matter more than squeezing out every last dollar of equity, a turnkey property could be a great move for you.