I did not read the rules around security deposits. you may be allowed to use those funds and still file a small claims action for any remainder, but I can't imagine that it would be worth it if you have at least one month's rent in security deposit. 

Note that FHA can be a great option at 3.5% down but don't rule out the 5% down conventional option either. 

They do everything for you (payments, taxes, insurance coverage) - the website and app are easy and functional and you can vet your guests!

At this price point you'll never hit the 1% rule.

Make sure the property meets the 1% rule or close to it (monthly rents = 1% of purchase price) to ensure it cash flows after you move out.Yes, interets rates are higher than they were a couple of years ago, but rents have also increased significantly in many markets, including yours.

@Robby Sanchez rules of thumb don't work, as others here have stated. 

FHA does not have this rule. 

The property manager will be involved for years, and they want it to be something easy to manage.

Not easy, especially given where you're investing and, if you can't do that, love money might be the solution.

It's pretty easy, just make sure you vet people you let into your house.