Looking at the housing pricing it seems very attractive at first glance. 

seems they have no real benefit in doing that if the home is worth more than is owed.

The LLC is the business structure most use when investing in STRs.If you're extra worried about liability you could split the 3 properties into 3 LLCs but to me this seems like a situation of "If it ain't broke don't fix it"

It seems that is also the consensus with everyone I asked.

It seems like "most" lenders (at least the ones I've talked to) don't like the idea of rent-by-the room on a primary ... so they can't count my income on that particular property and they are requiring a 1 year lease on the whole house instead of multiple mid-term leases ... so essentially they want a long term lease.

Dealing with a burst pipe can indeed be a big challenge, but you're not alone in this.Since the damage seems quite extensive, it's crucial to get professional help to assess the situation thoroughly.

I'm eventually going to be a Seller as I unload my portfolio within the next 5 years.This Ruling means I don't have to worry about Buyer Agents refusing to show their Buyer Clients my properties because I didn't offer a Buyer Agent cut on the MLS.In my Market of multi-million dollar properties, 2.5% Buyer Broker Commissions is easily $50k.My overall assumption is that the incentive of the Buyer Broker Commission effectively steers Buyers away from these properties or the Buyer Broker just doesn't get paid since the Buyer really doesn't sign an exclusive in my Market.This ruling seems to take away the unintended consequences of the old system to let a listed property with no Buyer Broker Commission split languish.

Just seemed strange that it falls into neither category...Josh

I haven't bought home warranties personally but from what I've heard, this seems to be a common experience. 

I'm managing Director of a 501 (C) 3,  with a CPA that handles what you seem to have expertise in.