I have a 2 family house that im currently "house hacking" in i have a ground level unit as well i was wondering what would be the pros and cons of me making it legal and me making my 2 family into a 3 family..

But it always seems to level out when calculated against several properties.

The type of jobs these type of tenants have are low level positions that don't seem to be as impacted by downward market trends. 

Holding LLC would file a partnership return at the federal level and include the activity of all three LLCs on the return and K-1s to you and your partner. 

A family member is also a real estate agent and would provide me with the 3% commission on the purchase of the new properties, minimizing cash outflow on the new properties.So my high-level thoughts are, I could downsize and buy two properties, which would reduce my monthly living expense by 1) a smaller primary note and 2) income from the MF offsetting a portion of the primary note, and at the same time I would be able to pull the equity I have built up in my current home, plus my current cash on hand, to further invest after the dust settles.

I fund a ton of distressed assets as a lender and have for going on 4 decades.. so I see the HUDs.. its not my place to get involved at that level.. but its reality.. wholesale really has double commission if not more not less.

When you are looking at deals always ask if this will get further towards or further away from your end goal.That's my level 1 advice, get your mind right before money goes live into a deal

It really depends on your comfort level and what's going on in your life. 

The problem is state level politics has now shifted into what will likely be one party Democratic rule from here on out.

If you refinish it right this time, future refinishings will be cheaper and faster as they will only require a light sanding before poly (instead of a full sand).Don't paint the floors.