Preapproved first timer

[Ashley Shields]

been sitting on the fence awhile, reading and dreaming and being fearful. Finally stepped forward and got preapproved for a 30yr fixed FHA: 150k, with 6%seller assist and about 7k out of pocket to close. However this would leave us cash poor because a recent health issue ate up a good deal of savings (its ok, that's what it's there for?) Monthly payment at 1265.

Eyeing a local duplex,  good spot in a developing down town with some nice features including fenced backyard and garage.  Estimating a rental rate of 900 monthly,  conservatively,  although current rates look to range from 900- 1150 for comparable units...

Emotionally speaking,  I'm moving my family here for the next several years and i would be happy to live there.

 Since I'm living in,  if i figure 900 for the rent,  that leaves us with 365 for the monthly payment,  plus utilities. Financially speaking,  I'm not sure if i should wait for a cheaper deal so that the rent can actually cover the whole monthly payment. 

After moving,  though,  if both sides are 950×2=1900, 10%,10%,5% for costs = 475. +monthly at 1265 = 1740. The cash flow is so minimal anyway!! Am i looking at that right? I am thinking that if my expected rent income is 1900, I'd want a property under 120k. How do i know how"low" i can offer on a property,  especially when asking for seller assist... Help?