Second home vs income property for mortgage

[Derek Larson]

I recently applied went in to get prequalified for another mortgage for a vacation home we are looking to purchase at some point. No property picked out yet just seeing.

We have cash in bank but don’t want to spend it all on second home. We would also like to rent this out for vacations when we are not using it.

What do I need to know?

Was also thinking LLC for tax purposes- do I need to do that if it is our first. Or wait till we get more or I start my Brrr stagey?

Thank you.