I told them I would consider it as I'm hesitant about having this "contractor" do any plumbing on my property.

If I keep the house in my name and use it as a rental, would I need to do anything other than notify the lender and adjust my homeowners insurance to reflect the house is a rental? 

But there are things you need to consider, like: everyone has to follow house rules to avoid drama, excessive use of kitchen and bathrooms leading to plumbing issues, being on call 24/7 with any problems, etc.

Your insurance is going to be highly variable and I wouldn't use what an agent or the seller tells you as the cost of dwelling policies have increased substantially over the past few years due to rising new construction costs. 

If you are struggling to make the numbers work, then it is likely not a deal to pursue.Our biggest challenge in the New Orleans area is the cost of insurance.

You mentioned a career change, I think going into the trades like plumbing and electrical are great and you can make good money doing those, but I think you may be taking on too much by trying to do that right now.

Without running any specific numbers yet, and ignoring my 200k loan repayments for now, if I my rent income minus property taxes, insurance etc and everything else related to the expenses of the property (again, ignore the 200k loan repayments) comes out to anything beyond 12000 annually in the first year I'll probably be relatively satisfied with that outcome. 

Today question is Universal Life Insurance (provider,) I am looking recommendations for companies that work with real estate investor?

You rate at 3.62% is pretty good but its on an FHA so you also have to consider the mortgage insurance if this is going to be your forever home.

Thank you to @Owen Rosen for helping me with the insurance on this one.