That being said due to the number of sharks out there I would only spend money that I can afford to lose. 

So, yes, you'll get a lower percentage of the cash flow (which isn't that high anyway for long-term rentals like pretty much anywhere in the world, including the US) but you'll get appreciation and loan amortization.b) You successfully invest in STRs and make enough money that you don't care that much about the higher taxes.To conclusion, as a foreigner investing in Spain, with a few exceptions of specialized niches, I focus on areas that have (high) capital appreciation and short-term rental potential.Hope this helps.

I also have money saved up for a down payment on another property.

I don’t have a loan on the property and hold it cash, but, if I sell it would lend the profits as hard money and earn 10%+. 

Be prepared to spend a lot of money creating the infrastructure.  

Depending on how much money you're willing to pay, it might make more financial sense to use another platform.

Should you add a playground or dog park, or would your money be better spent on putting in gated access?

Why can't you offer her assistance while she trains you, so you both make money?

This is not a great return, but not terrible.As others noted, there are other risks, like having the property insured at full replacement or purchase price, or if the option is 100% seller financing with no money down or very little, versus 20% traditional down payment, this can start to move it into a better investment.

Explore my personal favorites, Set For Life by Scott Trench or The Total Money Makeover by Dave Ramsey, for invaluable financial insights.3.