You can open an LLC in any state and, as you pointed out, some states have much lower costs for formation than others.

@Brittney PathkillerCheck out some of your local real estate group meetups.

The property will be rented out a mix of short, mid & long term rentals. 

Don’t hesitate to reach out—everyone starts somewhere, and you’re in the right place to learn and grow!

If you haven’t had the conversation with your relative about getting those “unofficial” tenants out, I believe you should do that soon and present your plan how it will be beneficial for both of you and you can begin the process of getting new tenants in. 

If you'd like to chat about investment opportunities, feel free to reach out!

but i want to point out something important about house hacking.  

Can someone tell me what I may be leaving out before pitching this?

Starting with a solid education, like you’re doing, is key.If you're ever interested in discussing strategies or just want to chat with someone who's been through the early stages, feel free to reach out.

I did 12 years, got out last year, and started a defense consulting firm.