Given the current market conditions, new construction and turnkey properties tend to offer a more stable and lower-risk entry point into real estate investing.

It will depend on what your goals are, but if you'd like to scale fast, you could leverage the $100k cash to buy 2 or 3 duplexes in lower priced markets that have higher rent/price ratios.You could use these properties to learn the ins-outs of OOS investing and use these to build your network and confidence in the market.

Definitely go the legal route here, don't rent out the basement unless you have the OK from the relevant authorities--it's regulated for a reason (fire safety, carbon monoxide poisoning, etc.) and your insurance will not have your back if something goes wrong.

So another solution is to save up for another deal with your cashflow + savings, and pull money out when/if the interest rate gets lower?

I have dozens of clients doing this in New Jersey most of which come from no construction background, they simply use preferred vendors we have in place (not GC's) which lowers renovations cost because there is no middle man. 

Some will give you costs based on no permits, which will likely be lower.  

The fact someone wanted to show a 20% versus a 15% return by using a lower interest rate, meant increased risk, which you either win or lose, since you're gambling.2. 

The asking price is on the higher side and I am trying to figure out what is a lower side reasonable offer price. 8 br, 4 bath, basement (not finished, laundry). 0.5 miles from Temple.

The not normal properties such as those with no legal easement to access get redeemed at a much lower rate than normal properties.   

Higher cap rate ~ higher perceived risk ~ lower predictability of cash flowLower cap rate ~ lower perceived risk ~ higher predictability of cash flow @Jaycee Greene what would be or is considered a good cap rate?