I have found this minimizes the holes left after the tenant leaves and of course allows the tenant to pick their own to their taste. 

The property you own for cash now has minimal risk of loss. 

In a way they are putting her in charge and the clients from what I understand just want to be left alone and not have to deal with the tenants or to very minimal degree.

First, a house that old will NEVER have a flat floor, so you need to live/minimize the worst. 

Can a case be made for buying a rental property (in good condition, i.e minimal repairs needed, at near market value prices with a qualified renter on a current lease, or is this generally something LTH investors will stay away from? 

You have made a great choice be moving here, and there are lots of opportunities to get started, and I recommend house hacking for new investors since it will make a huge difference by minimizing and sometimes eliminating your housing costs.  

I'm terrified of screwing this up and want to minimize my risk as much as possible.

I would like  to make sure our assets are well protected and distributed to our heirs with minimal legal hassles

If this property is an expense, and not an investment, I just want to minimize the expense

I would like to make sure our assets are well protected and distributed to our heirs with minimal legal hassles.- Help with figuring out the best strategy of deciding the right business entities and structure for our rental investments - LLC, S corp, both equal partners, both with different % share, me as an employee?