As an agent, my suggestion is to do what is right for you and what you can afford comfortably.

I think initially I’d probably be more comfortable with less cash flow for a better area.

Not inhabitable per my comfort zone. 

Me and a partner have begun creating a rolodex of capital that we believe can be raised, but we are hesitant to even try without a being more comfortable in the space.

Give them a return that they are comfortable with and terms that you both agree on, and then go from there. 

For my own sake I wouldn't be comfortable walking away without at least 20-30k in personal liquidity in a 4-5% credit union acct.

I underwrote multiple scenarios and am comfortable with the economics since he's doing all the day-to-day.  

Moreover, the "projections" that turned you off of past deals you'd reviewed are entirely invented... they can be made to say whatever will get you comfortable enough to send the money. 

1) It is hard to say which strategy or financing to choose but I believe the first step should be getting pre approved and seeing what you can afford and start narrowing down your options maybe you can’t afford large multifamily or don’t have the capital for a rehab on a BRRRR so something like a single family or small multi family would make more sense. 2) Figure out what strategy you are comfortable with, you mentioned you had a wife for example, maybe house hacking a duplex (living on in unit and renting out the other) will be more comfortable than house hacking the basement of a single family. 3) As for financing, get pre approved see what you can afford and maybe you only have enough for FHA 3.5% down and closing cost, I don’t know the Spokane Washington market.

It also help comfort people.