This property features a 4-bedroom layout upstairs, with 3 full baths (including 1 3/4 bath and 1/2 bath), a 3-car garage with an epoxy floor, a loft, and a den.

Intuitively, it seems I would use the Florida LLC. 

Hi Everyone 8 years ago I bought a single family in Framingham that had a pretty convenient layout and proper zoning to be turned into a duplex.

In this rules/lease you can lay out the condition in which all lots and homes need to be kept an the fines for non compliance. 

@Jake Chenoweth - My suggestion is to align on the future you and your wife want and lay out a plan to get there, work backwards and show how real estate is one of the most powerful ways. 

If they did choose to compare it to other single families the comparables still support a strong refi however I'm also worried that there may be a deduction on it's appraised value based on the fact that if someone were to walk into the property and want to purchase it as a single family dwelling they would have to invest money to change the configuration of the property to restore it back to a single unit layout.

But as I lay out my game plan for them I want to explain the process of the benefits of the passive income.So my question is, when the time is right and we can begin using the passive income for something other than the exponential growth.

My intuition is that as long as the total cost of rent plus utility bill back is equal to or less than they will pay somewhere else I should be fine. 

Its not currently occupied so I strolled through all the units to get a sense of the layout before doing a detailed walk...

I can send you Frank Knights number from Mr Porch as he will be able to lay out exacts costs and risk by doing the enclosed porch.