Paying off rental mortgages increases monthly cash flow but reduces liquidity, while investing in hard money lending offers high returns but is taxed as ordinary income.Buying a multi-unit rental provides tax benefits like depreciation, while purchasing a business can yield strong profits but requires active management.

In your scenario, claiming that $117k depreciation deduction could lower your taxable income from $700k to $583k, which is a huge benefit in the short term.As for the RE pro status, if one of you becomes a full-time real estate professional, you can potentially offset active income (like W2) with passive losses from real estate. 

I'd love to connect - I'm licensed in AL and actively work with Foreign Nationals, I am working a portfolio deal right now for someone who also lives in Israel. 

I've been in the investment space almost 9 years now, and been actively investing in flips myself, the last year.

Beautiful weather, outdoor activities, and a vibrant culture add an extra layer of appeal for both residents and investors.But Florida isn't a one-size-fits-all market.

A broker shall not be responsible for supervising, nor shall the licensee be responsible for operating, within the scope of the brokerage or within the requirements of this chapter, activities that would be considered property management, including leasing, maintenance, and repair, so long as the real estate being managed is "individually owned" or "entity-owned" as defined below:(1) "individually owned" real estate is real property in which the licensee holds an ownership interest; and(2) "entity-owned" real estate is real property owned by a corporation, limited liability company, partnership, or trust, within which entity the licensee holds an ownership interest as an owner, trustee, partner, or officer, or in another beneficiary capacity.

As active realtor, and investor I get a lot of people approaching me who want to invest. 

Otherwise, you should be more active and flip homes or develop ground up which is far from passive. 

The Tenant agrees to maintain an active renters insurance policy for the duration of the lease term and any renewal periods.

My biggest advice when designing a vacation rental is to truly know the daily activities, habits, and needs of your target guests.