The twist is that banks consider it a commercial loan and not a private loan, despite it being a residential property, is there a work around for this problem?

I am willing to give the person who goes to the property commission if and when the deal actually closes.

I don’t know the individual personally, but the people I do know managing multiple units work 6- or more hours per week.  

Personally if they were polite with good communication and nothing was stolen or damaged.

I personally think networking is your best route.

I personally am using the "value add" strategy to get my rentals to cash flow. 

House hacking will also give you some personal "property management" experience.

In reality, as soon as your cashflow hits your bank account, it's either reinvested in a similar asset, swept to an interest bearing account (high yield savings account/CD), or reinvested in some other form.

Additionally, townhomes appreciate much slower than detached single family homes tend to.My personal advice would be to sell this property and then 1031 either into a better property near you that is low maintenance, or (probably better for you) invest the capital into a syndication or partnering with an active investor where you should get returns better than the stock market. 

As others said if you have a personal use for it then do it.