Looks better for them and gaining a sale and higher property value gives a larger commission. 

Capitalize renovation costs to increase the property’s basis and reduce future taxable gains.

Has the title shows I’m about to start the process to gain my real- estate license.

After two years your only profit will be the education you gained. 

But, if overly onerous capital requirements and regulatory restrictions are put into place, this would likely limit efficiency gains from independence, which is the whole point.

I would imagine the LLC will have its own EIN, but we will still report the gain/loss as pass-through income on our joint tax return.

My biggest advice - take your time, do your research, and consider hiring a mentor.Check out the Rookie Podcast and forums on BP; you'll gain a lot of valuable insights from them.Wishing you success in your investing journey!

Here’s how using a Self-Directed IRA (SDIRA) to invest in real estate enhances these benefits, especially for those looking to diversify their retirement portfolio: Tax-Advantaged Growth: Real estate investments inside a self-directed account grow tax-deferred (traditional SDIRA) or tax-free (Roth SDIRA), meaning rental income, appreciation, and even gains from selling the property stay shielded from taxes until withdrawal—or forever in the case of a Roth!

I am looking to gain mentorship and relationships!

But it can be useful for rentals with gains also.