Investing in US real estate (dual citizen) - best way to set this up?

Hi,

What are the UK (and US) tax implications and considerations for investing in US real estate.  Specifically I am looking to purchase one or more properties in the US and then rent them out (and there may be rental profit).

Is it best to set-up a limited corporation in the US?

I am a dual citizen (US and UK) and have lived in UK for 6 yrs.  Single; no dependants.

Thanks

With something like this I would get a CPA/U.K qualified accountant to take care of it. Rental properties can be rather complex, management companies, repair costs, tourist tax etc.

Yeah this is a bit out of my experience, but aren't US LLCs basically transparent to the IRS when it comes to taxation. It seems uncertain in the UK

http://www.paulhastings.com/assets/publications/1614.pdf

You can certainly deduct costs like mortgage interest and real estate taxes on the US tax side, and also on UK taxes

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/Taxes/TaxOnPropertyAndRentalIncome/DG_10013347