Pennsylvania Income Tax (a simple 3.07% flat tax)2.

In some states transferring property from your name to an LLC will trigger Excise tax as well.

The new funds will bring the Chicago-based company’s total invested capital to about $2 billion. “Our enthusiasm for Brazil could not be higher,†Garrabrant, who co-founded Equity International with Zell in 1999, said in a May 18 interview in Sao Paulo. “You’ve got this local demand that’s unparalleled.â€â€œRising incomes among Brazil’s burgeoning middle class will ensure that a cycle of rate increases won’t suppress housing demand,†Garrabrant, 53, said.

If you are gonna pay a tax; a capital gains tax is one of the best taxes to pay(However, I do agree paying no tax is better).Capital gains tax rates are 0%, 15% or 20% depending on what tax bracket your in.You may also be subject to an additional net investment income tax of 3.8%.Unfortunately, I do not believe syndicate investments are able to do 1031(like kind) exchanges.Syndicate investments are normally held within some type of vehicle(LP, LLC) and the IRS does not allow you to exchange partnership interests.

Payroll tax as an employee. 

The ever increasing property tax as well as home owner's insurance premium, and the stagnant rent, is not good for cashflow. 

I was making $40k before tax as a teacher but now I'm making $100k on average.

While making some updates and selling probably makes the most sense in their case, they are not interested in selling - in part due to projected cap gains tax as the home is paid off and the basis is quite low (and/or perhaps they would like to pass it down, but want the cash flow?). 

I have not been to Uruguay yet but have you ever seen the prices in places like Sao Paulo?

They have an office, marketing, software, they've gotta pay gas, license maintainence, and then everyone's gotta get paid and with employer share of payroll tax as well.