While there's no strict requirement to match the original mortgage terms, reinvesting the full proceeds without financing or using leverage to enhance returns is key.If you don't reinvest the full amount, any shortfall ("boot") will be subject to capital gains tax, and depreciation recapture may apply.This post does not create a CPA-Client relationship.

Is the paint latex, oil or water based?

It's an organization that a cross between a 501C and a FBO(faith based organization).

Investors come to our market because of the low barrier to entry and that we have a solid tenant base that provides solid cash flow to out-of-state investors like yourself.

Shared housing provides affordable, flexible rental options for young professionals, remote workers, and students.As shown above, co-living properties have more demand than traditional two-bedroom units and appeal to a wider tenant base.2.

Just keep in mind that there are further steps you'll want to keep to minimize the possibility that your entity is ignored for this kind of personal liability (say, if you were the person who didn't properly clear snow, or if your finances and the LLC's are comingled).And I agree with @Chris Seveney, insurance may provide adequate protection based on what's available to you.

I don't get the term "DSCR loan"   I mean all loans for 5+ units are based more on the property than the buyer.     

It may also be difficult based on the figures you provided. 

My wife and I are investors based in Santa Barbara and have had Croatia in our sites for a few years.

The real obstacle is not the STR loophole itself but the tax benefit that it's based on.