@Kyle M.What you are likely referring to is that with real estate purchased outside of a tax-sheltered vehicle, depreciation can taken be against taxation on income.

There are several good funds such as Broadmark and Arixa that give you conservative loan-to-value, instant diversification into hundreds of loans, the ability to liquidate quarterly after a lockdown, etc.. 

Does that change the taxation and deductions any different than the above scenario, in our own names?

So essentially my w2 income would need to be able to qualify for a quarter of this loan if I was to occupied one of the units would this sort of loan be done at a normal bank or what would I need to do?

Most syndicators I know are on a quarterly distro.

I did it once per quarter for about 18 months.  

You taxation choices as a sole member LLC, which is what you are as husband-and-wife, are sole proprietorship, S-Corp, and C-Corp.

Recent article in Dallas business journal states Dallas is among the worst markets for flipping at a paltry 29% gross return on investment for the past quarter.

The mechanism for avoiding double taxation in these circumstances is usually a tax credit for taxes paid to another state.

As such, this new tax amounts to triple taxation on short term rentals.