I have a fair amount of equity in the home I'd be more than happy to pull out and utilize! 

I manage large commercial and industrial properties now for my employer, I am a facilities manager for a large utility company in my area.  

The Program utilizes forgivable loans called "Deferred Payment Loans," which require no monthly payments to subsidize the required costs of rehabilitation.

Ideally, we would just like the tenant to move out, regardless of the new rent or not.We have changed our mailing address to the property and have the utilities in our name, but are currently living with our in-laws while we renovate the first floor.

If the goal is asset protection utilize bankruptcy protected assets such as retirement accounts, homesteads, private annuities, etc; an asset protection “plan” that utilizes limited partnerships, foreign asset trusts based in Nevis or the Isle of Mann, or renounce your American citizen ship and move assets to Lichtenstein.  

Maybe you can approach with a combination of selling the lowest performing or least desirable asset(s) and utilizing some for cash out towards reinvestment? 

However, I am seeing posts here that many people utilize their short-term rentals for RE status by using Schedule E.

It's turned out to be quite a good deal for us both, as they are paying all utilities, some maintenance, and have even contributed to some cap ex in exchange for a multi-year lease. 

I would suggest you include repairs/maintenance, utilities, turnover, and vacancy in your monthly expense to truly estimate your cash flow per month per unit.

Bigger Pockets calculator asks the following:Purchase Price: 153,000closing costs 7650 (5%)20% down 30600Interest rate 6.5% 30 year loanRent $1330Property Taxes 451/yrInsurance 850/yrCapEx 5% ($66/month)Repairs 5% ($66/month)Vacancy 3% ($39/month)Management 8% ($106/month)Leave utilities blank assuming the tenant puts them in their name, BP calculator gives me 5.33% CoC ROI, which is better than what I originally did.