Rental Property Advise - House hack or Out-of-State?

[Joshua Crews]

Hello all, kind of a newbie here so bare with me. I live in Northern VA area, Fredericksburg/Stafford, to be exact. I currently own a single family house where I rent out the basement and Airbnb my guest room. I'm now looking at buying a dedicated rental property, but houses here are pretty expensive which means I can't afford to put down more than 5% in this area. My main goal is to eventually build enough cash flow, so I can be leave my 9-5 job and live off the cash flow. I'm looking at one of two options and would love some input:

Option 1:  I do a "house hack" and buy another property in my area that I would move into (This way I only have to put down a 3% down payment).  I would then Airbnb both my master and guest room on the top floor of my current house, and continue to rent out the basement.   With the new property I buy in this area, I would live there but also rent and/or Airbnb part of the house.  

Option 2:  I buy a dedicated rental property out of state (I have about 20k to play with that I can use as a 20% down payment).  I've been looking at possibly townhouses in the Atlanta area, but I feel like there are better markets to look at it.  Ideally I want to find somewhere with a multi-family property (2-4 units), but single family is good with me too.  

Any input is greatly appreciated!