This UDFI is a subset of UBIT (unrelated business income tax) and documented in IRS Publication 598.Confer with your licensed tax advisor for specific details.The general guideline is that the impact of such taxation on the operating income from rents is usually pretty low.  

As far as I know, LLC and S-corp are similar in taxation but offer the differences in management styles.  

I would like to know if anyone has any ideas to get the least taxation on US property investments?  

RE taxation laws provide incentives for those moving the economy forward.Buffet's secretary, my work job, your w-2 if you have one, they are spokes in the wheel, but RE builds the wheel.

I am obviously looking to maximize my coverages and protection, while minimize my taxation. 

Now with all of the complexities of LLCs, write offs, deductions, you have to know the ins and outs of taxation so that you don't pay too much. 

Though this felt a bit less oppressive, because of excessive taxation for being self employed it still wasn’t enough to even survive and I was dependent upon my wife’s income.

Brian Eastman says this "Flipping or wholesaling properties is considered such a business activity and if done with any regularity, subject to UBTI taxation." .

This will give you increased value in the short term with the potential for future capital growth as the market improves.Like you I am also a foreign investor so I will assume that you have already investigated the taxation and legal issues relating to foreign investors.

As a investment broker, you need to develop specialized knowledge and serve your clients in real estate investing, taxation, depreciation, property management, financing, and exchanging.