Congrats on getting started! I'll share my thoughts on a few of your points:
1. The 1% "rule" is not a rule, it was a simple guideline that was supposed to help do a quick initial vetting of a deal. Before the 1% "rule" there was the 2% "rule" that then got reduced as the market changed. Focus on a market you like for those macro reasons then focus on finding a deal that works for you.
2. Boots on the ground is very valuable. I can't comment on either of those markets other than saying that.
3. I don't invest OOS, but if I did then convenience of getting there would be top on my list. Even comparing Provo to NC in terms of flight duration and cost even though both have direct flights would be a huge factor for me. I'd probably also look at markets that had multiple direct flights form SFO everyday for even more convenience. That shouldn't be your number one criteria though.
4. I think it depends on whether you have someone that you can trust in that market. PMs cost a lot so if you can find a way to do it without them then great. But there is some risk if you are not around. Also, keep in mind that some markets have a requirement that landlords have a locally registered agent (manager).
5. This is dependent on your personal situation and strategy. Personally I would not take a negative cash flow deal. I don't like to gamble on rent appreciation. Expenses are going up just as fast as rent anyway. And interest rates probably aren't coming back down anytime soon. I have done some deals that barely have a little positive cash flow in neighborhoods that I know very well and know that the house should appreciate well and that I will have no problem always finding great tenants.
Hope all this helps.
