They are managed by a company that rents by individual rooms.

When you start reading about this and searching the internet one thing I find is true... there are many LLC formation services that claim to do a bunch of stuff, several of them sell expensive "education" packages which just get a foot in the door to sell more services, and other do-it-yourselfers (legal zoom)ut.  

I like that you're looking to run like a business- so either partner up with a lawn mowing company or if you have a PM - reach out to them for recs.

Material Participation Activities:Property Maintenance: Engage in repairs or construction work on the property to maintain or enhance its condition.Contractor Management: Oversee the hiring and coordination of contractors or handymen for property-related tasks.Tenant Interaction: Communicate with tenants regarding lease agreements, inquiries, or property issues.Property Acquisition: Invest time in property search and evaluation processes, including visits to potential investment properties.Property Management Tasks: Perform activities typically handled by property management companies, such as rent collection or property inspections.Non-Qualifying Activities:Educational Pursuits: Time spent on real estate education or training programs does not count towards material participation.Investor Hours: Hours dedicated to investment analysis, financial planning, or portfolio management are not considered material participation.

I also have just started up a STR management company here.

However, I have some concerns about the potential costs involved in mold remediation, especially if it requires tearing up drywall.I'm considering whether I should inform my insurance company to see if they can cover the damage.

However, right now, I'm in search of a mentor.

I am not a big flipping or investing company.

I have a property management company in KC and I'm happy to help any questions you may have or connect.

Or the various starving agents who come on BP in search of getting some transactions and strongly engage in the "fake-it-to-make-it" doctrine.