The house itself is considered inventory and the profit is treated as ordinary income, which will be passed through to you and reported on your personal return via W-2 wages and the K-1 from the S Corp.The wages and profits are taxed accordingly.

I feel like this isn’t correct since it’s taxed as ordinary income right?

Yes, the deprecation might offset the profit (Ordinary income) from the flips if you qualify as REPS and you have materially participated in your rentals. 

You are taking the depreciation, but your adjusted income phases out the ability to deduct the loss against ordinary income.

Taxed at ordinary income if you lived there for less than 1 year. 

First, there are no capital gains on a flip, it is ordinary income.

@Cole Britting - It's sometimes difficult to find a CPA who both specializes in real estate and is located close to you in Tampa.There are lots of good CPAs and Enrolled Agents on Bigger Pockets who work remotely and have clients all over the country.

https://www.irs.gov/publications/p544"Depreciation RecaptureIf you dispose of depreciable or amortizable property at a gain, you may have to treat all or part of the gain (even if otherwise nontaxable) as ordinary income."

Those that are different are unlikely to be active businesses -- they are more likely to be investing strategies, where you are paying capital gains as opposed to earning ordinary business income.Regardless, it sounds to me like you're looking for an excuse not to get into flipping.  

It’s a ordinary income that is subject to the self employment taxes.