If you can find practice tests, that is my recommendation - that is what I did after taking the required time component and did not have any issues passing the test. 

Long term rentals are the easiest since you won't have to deal with cleaners and maintenance issues are relatively easy to deal with by calling someone. 

Any legal issues I should be aware of in this situation? 

Verify its condition and ensure the seller discloses any known issues.

Any issues that you've experienced so far?

Second biggest mistake is failing to realize these construction loans allow draws on improvements meaning cash expenditures are required before the first draw can be issued.

The Fannie and Freddie programs handle this issue slightly differently.

Based on a quick answer from Perplexity it seems like there would be no issue with you buying the home and collecting passive income, but you may not be allowed to manage it yourself since that is considered active work.

Some minor plumbing issues but nothing crazy.Selling the place?

Assume a couple of months of vacancy, consider potential unexpected repairs (like HVAC or plumbing issues), and test the numbers with rents dropping by 10-15%.