If you don't like how the local taxation impacts your cash flow you can increase your rental rates but if your rental rates are too high, you will lose prospects to other landlords. 

From the start, choose the right structure such as an LLC to protect yourself legally and take advantage of pass-through taxation, which lets you deduct business losses and expenses directly on your personal return.

(I bought at the ‘right” time but sold WAY too early and left a LOT of profit on the table).Since “REITs” are actually a form of a C corp that doesn’t pay tax at the corporate level, and must have 75% of its assets invested in real estate, and since the interpretation of real estate has expanded significantly over the years, REITs cover a wide variety of properties, business strategies, methodologies, and management motivations.The short answer to your question is that theoretically, the higher the growth in FFO per share the REIT is able to generate from Organic growth, and not for example because they’re able to refinance their debt at a lower rate, the higher the multiple of FFO they command, and usually the closer to or amount over NAV they sell for.Although I utilize the advice of two analytical firms both specializing in REITs, I ultimately make my own decisions as to what to invest in me how much.  

Fortunately, tax treaties and foreign tax credits can often prevent double taxation.

There are plenty of accountants on here that specialize in real estate taxation and the STR loophole.

Dennis, I recommend that you hire a tax accountant that specializes in real estate taxation.

Until then, you must initiate the contact from your end.Here is some introduction to STR taxation:  https://www.biggerpockets.com/forums/51/topics/1122635-the-s...

It’s interesting that Airbnb and VRBO disrupted the hotel/motel STR industry (especially before they were forced to conform with hotel like rules/taxation, and now that they’re intrenched they’re in need of disruption!    

Include a buyout clause allowing you to transition to sole ownership after two years, based on a pre-determined valuation formula or market value.Use an LLC to hold the property for liability protection and pass-through taxation, ensuring both partners benefit from depreciation to offset rental income.

@Tim Rogers Do you have a CPA that specializes in real estate taxation?