But if you want to maximize your deductions now or plan to sell the property soon, then using it now could be better.Also, if you or your spouse qualify as a Real Estate Professional for tax purposes, the losses could offset other income, like your W-2 salary.

The only time I see Joe is during the time to sell the program. 

While people will share a bathroom in say a 2/1 it is likely a harder sell in a 5/2 and the price you command is less. 

Are you planning to sell your motel?

You can recoupe that money with the over-market rent you should receive, but if you choose not to renew after 3 years and want to rent/sell as a standard SFH, you then have to tear the walls and such back down and now have a bunch of furnishings you probably need to get rid of.

If you plan to sell soon, depreciation recapture could reduce upfront benefits.

These guys are having fun because there are a lot of scammers and gurus out there selling LLC creation services and Wyoming Trusts and Cook Islands Trusts and if you believe all that b.s. you will end up needing to cash out refinance soon in order to access that equity in order to pay for all their services plus an accountant to keep track of the mess.

This property cashflows very well now, so I do not plan to sell for quite some time. 

If you live in it for two years, you should be able to sell tax free up to 250k if you're single.

It’s when homeowners who locked in ultra-low mortgage rates during the pandemic hesitate to sell because moving would mean trading up to much higher rates.