Most zip codes are great for either strategy due to how rapidly appreciation is occurring.

It is well kept and there clearly has been some property preservation occurring. 

If you think you will go FHA, Conventional, 203k, etc. and then Quit Claim the property, to a LLC, or a Land Trust you run the risk of the lender discovering a Title Transfer occurred and activating the "Acceleration Clause" or "Due on Sale Clause" that requires the loan to be paid in full, within 'x' number of days.

This is a massacre that shouldn't occurs.

Short of someone making a deal with the heirs in this case, which of course would be the most expedient, I suspect something similar must occur.

Now, that said, partial loans sales do occur.  

Your insurance policy varies depending on what you pay for but usually would only cover accidents, fires, etc. it's not going to cover the furnace going kapoot just because it's old. 

So it provides some cushion for me if any downturn occurs in the next few years.

Assuming that your plan allows participant loan (not all plans do) "Repayment of the loan must occur within 5 years, and payments must be made in substantially equal payments that include principal and interest and that are paid at least quarterly."

I can see it now where crashes in the air happen, technology fails, drones crashing hitting people and also boxes falling from the sky by accident and hitting someone in the head.I think the local warehouses for faster shipping by vehicle is the likely next step.Retail is not going away as some people like to physically shop in person versus online.