Seems to me, our noob friend is trying to better his gear and therefore trying to up their game. As a recent tech convert I can respect that (provided that they know how to actually DJ, beat match, and read crowds rather than using this as a shortcut to previously being what I refer to as, “an iPod push play monkey”).
When it comes to software, there are only 2 clear choices that you should debate about getting: Serato Scratch Live and Traktor Scratch Pro 2. Each have their Pros and Cons.
What is best for your DJ setup? Nobody can tell you that. I’ve always said that every DJ’s setup is like your own underwear: It’s yours. It’s personal. You don’t loan it out to others. What you do in it is your own business. Some like theirs to be funkier than others. Some prefer something cleaner, newer, and fresh. Most of all, it must be the right fit for you or else you will end up being very uncomfortable. 
Correct me if I am wrong, but I assume since you have possibly familiarized yourself with Traktor that you want to continue using Traktor. I also assume that you want to expand what you are capable of doing overall and recording may be just one of the internal features you want to make use of. If all of the above is true, I suggest Traktor Scratch Pro 2. Making this leap from LE may seem to be overkill at the moment. However, TSP2 will allow you to record and to add/subtract options - like a sampler, multiple effects, multiple decks, adding other MIDI controls, allowing multiple ways to reprogram/re-purpose controls, using CD or vinyl control, allowing you to make true use of the tutorials here on DJTT, etc. - to your setup. More options + more functions (whether you make use of them or not) = more complete flexibility when it comes to expressing yourself musically.
If I am wrong in assuming the above, consider Serato Scratch Live. It’s just as powerful and stable as TSP2. However, it currently does not have the same caliber of ever-expanding usage for MIDI controls that Traktor does. Yes, Serato supports MIDI, and MIDI controllers can be programmed for certain functions, but Serato is not as specifically programmable and re-programmable as TSP2. If you are like me who is someone who loves to get under the hood and start hacking and tweaking every detail of your system to your liking, Serato is not for you. The true obvious advantages Serato has over TSP2 is it links easier to Ableton Live using The Bridge and VJs can mix video without a secondary video program if you get the video plug-in. Plus,
The rest of the feature differences and similarities between SSL and TSP2 are highly debatable and often are. (Example: SSL can rearrange the user interface multiple ways that TSP does not. Serato has effects, but there are not as many as what TSP2 has. Both now have a sampler built in. Which is better? The list goes on and on.)
As far as adding or subtracting hardware to your setup? This is never as clear of a choice as the software involved. I suggest doing a bit more research. Listen in on a few forums. Get reviews. Grab a copy of the Traktor Bible. Read about each item and decide how it fits into your “underwear”, if it fits at all.
If you need any more clarity to anything I said, just ask. Welcome to the forum. Say hello to everybody and play nice with others. We’ll play nice with you.