While the 4% mortgage is great, your 1M in dead equity isn't giving you a great return.

Is that factored into your returns?

Find the best asset you can and use higher effort strategies to fight like hell to break even or eek out a small return.

Some used more creative ways to handle the needs but it is still a capital call and dilutes the return (if anything left). 

Unfortunately, this problem waste a lot of my time that could be spent on other investments.I have used the same tax professional for many years and he is very educated, but also much older than me and it's hard for me to understand all the reasons he has expressed why is better to put the rental on my personal tax returns.

>>For purposes of taxes, consult with a CPA to confirm this would work for your situation, but you could have the LLC be treated as a "disregarded entity" and thus, even if you and your wife are members, any profits/losses would "disregard" the LLC and go directly on your personal returns. 

We did 20% down and were upwards of 15% COC return.

Hi BP Community,
I’m excited to be back on Bigger Pockets! In 2021, I successfully launched an Airbnb, thanks in large part to the amazing advice and support I received from this community. It was a great experience ...

But just because it is 4 or 5 bedrooms doesn't mean diminishing returns.

This allows us to close extremely quickly, which is an important competitive advantage.I don’t know how to read our own tax returns, and I’m certainly not going to read yours.