While different sponsors, still not really diversifying - it’s like investing in one type of stock company - for example airlines or auto industry.

If you were my age again in this situation what would you do or do differently than stated above?

From tax point of view there is no difference holding the property at your name or thru LLC. 

There is a world of difference between private loans and a hard money lender as well as rates charged.

Thanks for reading my long winded post, I realize with situations like these there are no "correct" decisions only different decisions that yield different outcomes.

I know when you purchase a car they tell you not to do it at the same time as buying a house but I don't know if buying out a lease has different affects (since it's a less amount, I've already been making payments, etc.)Any advice would be helpful as this seems to be a situation I can not avoid!

Partner with a builder and split the final sales price based on value difference before and after the buildingLower the price enough to not lose the property when the balloon comes due?

What if a different property is sold; can the loss carryforward from property A somehow offset a capital gain on property B? 

Overall I know I secured many bookings because I was one of the few whole house listings allowing pets in my market... it made a difference.

Are you going to stick with out of state flips or take a different route for your next project?