Once you find out what is best for you, concentrate and learn as much as you can about it. 

Since this would be our first real estate investment we wanted to concentrate on more recently built or renovated homes.

Concentrate on 1 or 2 things to do that you enjoy.  

Very tough to do, concentrate on your own success for now!

  - Don't concentrate on the cash flow- Make additional payments towards your principle every month.

I was able to drive around and  found a few concentrated areas of MFR near a college section.

I would concentrate on getting it rented out now, and put finding a new property to live in on the back burner until after this is rented.$800 cash flow is no joke, and to have to wait, possibly for another 4 years is not my first choice.Get it rented, and move your stuff into a friend's house, or a storage unit until you find a property you can buy.

pretty simple  the note is not that big of deal.. its just a promise to pay.. what you want to concentrate on is the deed of trust.. simply get a copy of a deed of trust that has been recorded and redact and insert your legal description your Grantor Grantee.... the note just needs amount terms .. and any late payment etc. 

Must be the concentration of Federal employee/contractor population and extremely high median income that pushes rent prices so high.

The exception is only given to existing condo complexes with at least 3 years of very stable finances, and low delinquency rates.No more than 50% concentration of FHA Loans within the community