Prep for first investment property in CO

[Erandi Lechuga]

I *finally* have though capital for a down payment on my first investment property. I plan on househacking a small multi family 2-4 units in CO. I own my current primary resident but will not be renting it out (my parents will live in this home when I leave and they will cover the mortgage). Long story short I purchased this home when I was 19 and single and they helped with the down payment and we agreed to live together. I now have a family and am ready to leave but they want to remain here.

I have a few questions/concerns:

1. How will my primary mortgage and taxes work when I move out and leave the home to my parents? Do we need a lease? Will this affect my approval for the next loan? How do I explain this to lenders?

2. What steps and in what order should I be taking to get closer to my first house hack besides the first step of getting pre-approved with a lender? (Opening bank account, registering an LLC, finding an attorney, connecting with an agent, etc.)

I know it's a lot to unpack. Any advice is appreciated.

TIA