Q: Is it possible to do it by train? I want to go from village to village, and hike, and bike a little too.
A: Yes, you can. Thousands of East German tourists used to do that in the 80's just like people have done since the 1890's and the network for hikers established then is still functional.This is especially true along the Rennsteig. Get some brochures from http://www.thuringia-tourism.com/ . You can contact them by mail: service@thueringen-tourismus.de They'll be able to advice you on public transport and the maps you'll need.