We are part of Tony Robinson's Alpha Host Academy and it covers everything STR related (i.e. taxes, arbitrage, cohosting, buying, operating, etc.).

This includes income & asset verification, tenant's credit, criminal, and eviction reports.

Thats how I got into real estate 7 years ago and now have over 12k in passive income and a portfolio of houses, manufactured homes, and multi family homes.

Thinking through the tax implications, how that changes each deals numbers, and how we'd structure those payments has my head spinning.  

I don't want to have to open another LLC and file taxes in another state for business. 

I just want to make sure I understand correctly, so even though she will be receiving a lump sum in 3 years from the balloon payment (it is an investment property she's selling me, not primary residence), she can't 1031 that because technically when she sold it to me today she became the bank and no longer owns the property, so basically the lump sum paid to her at the end, is the same as a bank making money and therefore taxed as income tax?

Besides that, my taxes are relatively simple, W2 job. 

My father in law would say Yes, but that is also why we don't prepare his tax returns.

I have helped clients in your exact situation in the last few weeks.You do not have to refinance that loan to purchase another home.In fact, you can purchase a new single-family home with 5% down and turn your current home into a rental.You can even use the rental income you will get from your current home to help you qualify on the purchase of the new one!

Since you've got a great source of income outside of that, you stand a chance, but the rates and terms you'll get from a bank or credit union for a non-owner-occupied investment property won't be as low as you think.