We are reasonably handy people if a house needs repairs we are willing to take on a task and put in sweat equity.

The reason the first transaction is falling apart is surely the failed Phase 1. 

Your tax rate will likely be the same regardless so if that is the primary reason for considering an entity you might just buy personally. 

FYI, the reason I ask is that it just so happens, I'm in just this unique situation explained above and am curious where other's would pick.  

Hanging on to a property for any reason other than financial, is an emotional decision...or a bad poker move. 

I think I have enough career stability that I could always find decent -paying work if I lost my job for some unforeseen reason, and of course my husband can always work more.

It’s pretty simple, if you can make a legitimate claim that it’s your primary residence there’s not reason cmhc won’t insure the loan.I’m pretty shocked a mortgage broker would give that point of view, it’s flat out wrong.

Austin will not see a major effect of the that in the housing market due to numerous reasons.

Or other reasons?

This will give a more reasonable (conservative) analysis.