The most profitable option is Airbnb, the most passive is long-term room rentals, and a hybrid approach can balance both.

I think Rooms to go would be a good option to get you started given your distance.

But at a $1.5M asking price, as long as you don't have to spend more than $300k in rehab (without raising rents), this is a slam dunk deal that should easily be financed  at 75% LTV by a "investment real estate-friendly" bank/credit union that is located fairly close to the properties.

Always try to have a investor-friendly agent by your side

I just realized it’s a bit too much for us to manage and wanted to explore some options.

Josh I find myself essentially in the same situation and I have been thinking about my options.  

I may specialize in VA loans, but I also offer a range a conventional, FHA, USDA and commercial lending options. 

Bloomington is a city located in south-central Indiana, approximately 52 miles southwest of Indianapolis. en.wikipedia.orgRecently, the city has been exploring co-living arrangements as a strategy to enhance affordable housing options.

These are all good options.

But, then you still have your Indiana LLCs and Indiana is a much more business-friendly state.You would have to be in one heck of a lawsuit for someone to want to try to break through both.