Here's my take on the decision:First, let’s look at the pros and cons of paying off your current short-term rental (STR):Paying Off Your STRPros:-You Eliminates your largest fixed expense (the mortgage), which increases your cash flow significantly.

Eliminate debt, establish a budget, and save.

That’s correct, a foreigner can buy property through a Mexican corporation, which is a great option for those investing in multiple properties or running a rental business.Key Points I'd like to add to your post:Setup Costs: $1,500–$3,000 USD.Ongoing Costs: $1,000–$2,000 USD/year for accounting and tax filings.Benefits: Allows tax deductions for expenses like maintenance, repairs, and management.Best for: Multiple properties or income-generating investments.For a single property for personal use, a fideicomiso is often simpler and more cost-effective due to its lower maintenance requirements and feesUltimately, choosing between a corporation and a fideicomiso comes down to your investment strategy.

The tenant has not paid anything since April 2024, effectively staying in my property for free for four months.

Having watched many prior co-workers get paid, cash their check at the casino, and promptly deposit it all into a slot machine I can tell you with pretty good certainty that casinos don't have a positive effect on disposable income and good use of the existing income in the area surrounding :)Are there solid local employers OTHER than the casino in a 15-minute drive? 

Looks like is passed in 2022, effective this year.

Several of the contractors offer helical piers but don’t seem to think they’d be a more cost effective option - we can directly ask about this again.  

.#1:  Rules of thumb will eliminate good deals as well as bad. 

2.What are the best and most cost-effective solutions for managing this potential long-term issue?

.- Plan: eliminate AMT - Alternative Minimum Tax.