While short-term rentals (Airbnb, Vrbo, etc.) in the U.S. can offer tax advantages, the rules change when the property is outside the country.

Now your income for tax purposes is $28k.

Quote from @Joshua Alcantara: Quote from @Peter Walther: I've found many properties with title issues wind up with unpaid property taxes so checking on delinquent taxes, tax deed sales and lands available for taxes might help you identify some.Thanks, Peter, for the info!

This means the $80K LLC profit is subject to both ordinary income tax and self-employment tax (15.3%), regardless of your high W-2 income or capital loss carryover.

If you want the quickest tax write off, it is tough to beat. 

@Sean Overcrest Transferring the property to an LLC may help avoid property tax reassessment under California’s Proposition 13, but it comes with risks.

I know the tax hit isn’t ideal, but I’m wondering if the long-term cash flow benefits outweigh the opportunity cost.

. $800 yearly tax for each LLC.

And since the S-Corp’s profits pass through to you, you’d still pay personal income tax on the rental income.

As long as you filed joint taxes you would be fine.)