If you plan to expand your portfolio, forming an LLC can simplify liability protection and operations for multiple properties.Consult a CPA or legal professional to confirm your tax obligations and evaluate whether an LLC or umbrella insurance aligns best with your investment goals and risk tolerance.This post does not create a CPA-Client relationship.

A good tax professional won't just put a number on a line because you told them to; but if they're reporting something differently for a valid legal reason a good tax professional should also be able to explain to you exactly why. 

To my knowledge, STRs do not qualify for the real estate professional status as they are seen as a business venture and not real estate activities (this is why it is a "loophole").

Readers should seek professional advice. 

-Vacancy, maintenance and capital expenditures will need to be accounted for-Will you self manage or use professional mgmt ?

We need to learn more about how taxes work as foreign nationals investing in the USA, and what entities are best for tax/legal purposes. 

You took care of the issue in a reasonable and professional manner in line with local laws?

I've also seen it where legal counsel has had each of the spouses form their own single member LLC and those LLCs purchase the new property as tenants in common.Food for thought - You'll almost always get a better interest rate and terms buying as yourselves. 

Readers should seek professional advice.

If you haven’t done so already, consider protecting these assets under a legal structure, such as an LLC or trust, to ensure they are secure.