For an SMLLC owned by an IRA that is taxed as a disregarded entity, the example and explanations in the link look good except for line 3."

At least at the Federal level, a single member LLC is considered a "disregarded entity" for tax purposes so you just fill out a SchC for it. 

If this seems obvious, disregard.

@Uzair Syed, if the LLC was a disregarded entity for your parents  the property would have been reported on their personal tax return and the LLC would not have filed a tax return. 

If the LLC for your replacement property is a disregarded entity (meaning it is a single member LLC and has elected to be taxed as a sole proprietor and doesn't file its own tax return) then selling in your name and purchasing in the LLC is fine.If the LLC is a multi member LLC or files it's own tax return they you'll need to tkae title tot he new property in your name as you sold the old one. 

If I do a solo LLC it will appear on my 1040 and it is considered a "disregarded entity" in my state. 

I just sent you a message with more details, and feel free to disregard this if you've already looked into it but I think your complications may be more with zoning than with the loan when it comes to NOO STR.

and then try and make a transaction to purchase the property from my LLC, the market value will have increased and I assume I will need to pay a near-market value so that the sale is not disregarded.

@Wayne BrooksDepends on how the LLC is taxed for federal income tax purposes before the sale.If a SMLLC that is disregarded or a MMLLC taxed as a partnership, it's treated as an asset sale for tax purposes. 

Hi Chris and thanks for the reply.A SMLLC treated as a disregarded entity, which is what we would do, shouldn't create any comingling concerns since the entity's income is a pass through on our taxes.