Even outside the city, many townships have passed legislation to limit short term rentals. 

According to your profile, you'd be a representative of a Mexican real estate agency I'd never heard of, even though I've been investing in Mexico since 2017 so I googled the name you give and, surprisingly, I didn't find a proper website, just an influencer-like Instagram account.

One golden rule I follow,if it takes a long time to fix/replace when it breaks, don't buy a cheap one.Imagine, this thing breaks in the middle of your peak season and the people who can come out to rebuild are 2 weeks out....It takes at least a day or two to build something like this even if you are super skilled.

Platforms like Zillow, Realtor.com, or even tools provided by BiggerPockets can help.

Such a situation is recoverable if there is enough time for a market recovery and the cash flow is at least break-even (or there is enough reserve cash to cover negative cash flow until it can turn positive). 

You can even look for police reports in that neighborhood.

That claim can not be even remotely true.  

So it is fine for us to just list the property under my husbands name on the Schedule E even though we both own it, and I manage it?

@Jay Hinrichs exactly the risk is even more than traditional development and the profit is actually less with more operational headaches.

I bought all the courses that taught you how to do this with no cash of your own, trying to do simultaneous closings, double closings, finder fees and of course the infamous contract assignments.Those all work, but I always ran into credibility issues with even resi sellers.