First property - looking for some advice

[Scott Harlow]

First some quick background about myself:

I'm a 25 year old mechanical engineer in Southern Arizona with little debt ($5K in school loans - making minimum payment, very low interest rate). I don't have a car payment and I'm able to sock away a decent amount each month. I have $25K cash with another $5K that I can scrape together if I close out stock positions. 

I'm looking to start investing in multi-family properties as long term buy and holds that will cash flow. My long term goal is to be generating $100K/year in passive income by the time I'm 32.

I've found a property in my area that is listed for $175k. It's a 4-plex renting for $575 per unit (all units currently leased). On paper this is looking like a great opportunity with a solid 11% cap rate. I'm having trouble pulling the trigger and figured I would outline my two major reservations to see what other members have to say:

1) Area. The property is in an area that I wouldn't necessarily want to live in. It's not terrible by any means but it's a lower income neighborhood. That being said, the units are some of the nicer ones in the area. I realize that the name of the game is cash flow, and since I'm not living in the units, the area should not matter.

2) I'm having trouble trusting my evaluation of the deal. I'm worried that I'm missing something. On paper it seems like a great deal...11% cap rate leaves me cash flowing 7% after factoring in my loan payment...less if I go with a management company. I'm thinking about using a property manager so I can have more time to spend on finding the next deal.

Any input would be greatly appreciated. I'm ready to bite the bullet and jump into my first deal but I still felt that I should post here first. I'm a big fan on the podcast and I'm excited to start learning from the other users here.