Poor Cashflow vs Good IRR and Cap Rate: First time investor (and house hacker)

[Abhijay Patne]

Hello fellow investors

Is buying a negative cashflow deal good if the IRR (Internal Rate of Return) and Cap rate are decent?

Details
Purchase price: 1.1M
Return (IRR): 11.86% per year
Capitalization Rate: 5.45%
Total Profit when Sold: $1.16M
Holding period: 20 years
5% down (so that I can take maximum leverage)
mortgage rate: 6.7% 30-year fixed
Vacancy: 5%
Management Fee: 8% --> I used this only for calculation but as I will be staying there, I plan to self-manage it.
Cash flow: negative $1500 --> My primary job pays decently and I can manage this and have 12 months of reserves. This assumes the market rent for the unit I will be moving into.

My goals from entering real estate are 1. add diversification in my investments (right now heavily invested in stocks) and 2. house hack, so that tenants pay part of the mortgage

In my current market, I have two options:
a. buy older houses, renovate, bring the rent to market --> this will cashflow, but needs a lot of time investment which I don't have
b. buy turnkey properties: --> renovated and already occupied by tenants but may not be cash flow positive.

I found a property that's type B. It doesn't have cash flow but has a good IRR. So, I'm considering buying it.

Thoughts about it? Are there any things that I should consider?

Thanks!