Moving the property to a corporation is horrible horrible advice.Not only does that potentially screw the step up in basis as there would only be step up in basis of corporate shares and not the property itself, but it also locks in real estate losses that can't be passed to the owners.You should consider firing the CPA for giving that advice.

This is due to the fact that we were only looking at properties that don't need big upgrades. as I agree to your point of just jumping in, we want to make sure we don't jump in and then get out to realize the loss we took on it. 

Would they just be passive losses that can offset passive income or can we treat them to offset capital gains from other investments ?

One of the many advantages being classified as a “real estate professional “allows you to offset income with real estate “paper losses “ like depreciation and other expenses.

But everyone's situation is different.I spoke with my accountant the other day and he floated the idea that I should refi my whole portfolio so I could "operate at a loss for awhile".

I have a large amount of passive activity losses on my tax returns which will carry forward (not REPS so can't offset my W2 income) I don't know anyone who retired early/quit W2 at the age of 40 from their stock portfolio.

Please keep in mind that "suspended passive losses" or losses that are generated that are passive by nature, will STAY passive losses, and CANNOT be used to offset active income.

You might consider cutting your losses and selling it, or investigate STR options.

According to passive activity loss rules, every business is obligated to adhere to specific criteria, especially when it comes to short-term rentals.

You will still be faced with the passive income loss limitation.In my opinion, continue buying quality real estate investments and allow the depreciation to shield your cash-flow.This will allow your real estate investments to grow tax deferred.