I know the tax hit isn’t ideal, but I’m wondering if the long-term cash flow benefits outweigh the opportunity cost.

As for holding properties under an LLC, there are definitely pros and cons—it can offer liability protection and tax benefits, but it also comes with additional costs and paperwork, so it really depends on your goals and risk tolerance. 

Have a conversation with a CPA to see if you will benefit from the cost segregation before getting it done.

What benefit do they provide over just using an attorneyIf they are raising money are they licensed?

You may be able to get into a reasonably priced house hack in these markets and benefit from some nice appreciation.

The benefit of this is that you are not paying Hard Money rates so in long term there is a lot of savings going this route.

@Mike Robb you would think with the money they charge people for very little benefit they could create an app.

Another benefit is lower flood risk...those may be famous last words, but you're in a good location/elevation relative to other parts of Houston metro.It is very street to street and block to block.

Regarding buy downs, rate benefits vary by loan term.

@Austin Williams what lenders probably won't tell you right now is the BIGGEST benefit of your VA loan is an assumption!