She assured me that as long as I don't put it out for rent right away and just live there for 1 month and everything will be fine?

So a move from structure to raw land is fine as long as you're intending to hold that land for productive use. 

And then you can only take a proration of the gain tax free when you sell.The LLC isn't an issue as long as it is a disregarded entity as @Evan Polaski said.  

As long as it is a nuetral look I would jump at the chance to make this change.

I am confident that my wife and I can retire on a reasonable income within 3-4 years through investing in real estate since our 9-5 jobs provide an exceptional amount of capital as long as we don't waste it.

As long as you don't expect to get something way below market value.Just my two cents as a very active Realtor in Northern NJ that works with a lot of first-time buyers/house-hackers. 

Makes sense and aligns with what I've been told by a CPA/EPA I'm going to potentially use moving forward.Let me ask you guys this:I can BRRRR this house and put around $30k cash in my pocket on the refinance (as long as appraisal comes back normal which we all know how that can go.)

I'd talk to a bank about a loan or do part on a 0% credit card as long as you can pay it back before interest kicks in.You mention you are at 25% DTI, so you have room. but you also mention wanting to buy a duplex or start a short term rental-where will that money come from?

As long as people are buying and population increases, your property in appreciating. 

As long as you find an investor agent, they will take care of you.