STRs work best in tourist-heavy areas with high demand, while LTRs perform well in markets with stable economies and diverse job opportunities.

In addition, I don't feel like our job market is mature.

Columbus is the only Ohio market that has seen rapid growth in jobs and population. 

Also, co-living situations or top performing short-term rentals can produce a pretty high cash on cash return but again they are pretty active with a high turnover of tenants and guests unless you find someone else to manage them and then you are usually paying a good portion of the profits to the manager.But let's say that you have a job and are not interested in fixing and flipping or a high turnover type of investment and you would rather be a more passive investor.

@Keetaek Hong I'm a huge fan of DFW and HOU because of their population growth and job growth.

I have a full time w2 job. 

Here are some thoughts on your choices:401k Loan: This can be a good option since you're borrowing from yourself, but it comes with repayment risk, especially if you leave your job.

While they did a good job, I felt the price was steep, especially since the house wasn’t in terrible shape.I’m debating whether the cleaning charge is reasonable to deduct fully or if I should waive part of it as a goodwill gesture. 

While they might not be the cheapest - no HM lender is "cheap" - they do a good job at what they do.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.