W2 & My Side Gig Questions

[Ben Rahlf]

I've recently jumped into the REI game and I've found out that if you don't have a "employee" job or a W2 in order to get a home loan you have to have 2 years of reliable income history.

My question is I have a side gig as a contractor that I plan on taking the place of my full time job here in the next year or so. I don't want to wait two years before I jump into my next rental property however when that takes place. 

How do I avoid having to wait? Should I set up my side business as an LLC and then make myself an employee? Would I still have to wait two years from the time that happens? Is there another way around this that I haven't thought of?