Are there any methods you want to stick with?

Other locals with similar experience had mentioned that this scenario might not be the best fit and it turned out to be correct.

If I remember correctly, there is a provision for properties with Fannie and Freddie loans to be moved to single-member LLCs after 12 months of seasoning if the only member of the LLC is the owner/borrower on the loan. 

Correct.

Most who get tripped up are those buying the smaller multi-families that don't possess the correct use permit/historical rental license activity. 

For example, we've recently taken over marketing internally because the property management company was not experienced enough in using the newer advertising methods we need to pursue.

Since you aren't looking at the BRRR method, I am assuming you want something that is turnkey.

Both screen doors upstairs do not function correctly.Plumbing problems-The garbage disposal in the kitchen was not cleaned, is smelly and the rubber is flipped outwards.The bathroom sink in the smaller bedroom does not drain correctly despite us using an entire bottle of drain cleaner on it.Common areas that are not kept clean or have garbage-There was no attempt to clear the patio of years of accumulated debris and filth.

You are correct; it would be awkward having two different parties staying on the property. 

FF is a must have in almost all markets but needs be used and thought of correctly as Allen and Miguel noted.