What is the quickest and most feasible way to transition from living there to setting up this house for passive income: leaving a property manager or somebody to take care of it!

Quote from @Kyle Barnhart: I live near Phoenix and looking to invest locally.

I also have registered my "rental company" with the state of Maryland, where we live. 

It has ample basement living space, that the tenant uses as a third bedroom.

I truly believe she had a medical condition and shouldn't even live in my house, should probably live in elderly housing or the like.

Also, if it fits your budget and your business needs a write off BPCON lives up to the hype. 

For example it is my understanding that Big Bear allows it but whoever is managing the property has to live within 1 hour of the property. 

My wife and I live in Easley & invest in this area.

Hopefully, not an expensive tenant or Fair Housing lawsuit.100% of what @Travis Biziorek states is true, but he left out a key fact - he lived in the Detroit area when he started investing here, so was able to self-manage and meet everyone he had to hire face-to-face.

Where do you live, and where are your units?