Also, from what I have gathered (which I may be wrong), the better cash flowing properties seem to be in the less desirable neighborhoods here.

I feel perfectly happy to take advantage and wait a little longer, but the desire to jump in is there. 

For instance if a person comes to you promising the rate of return you desire you may invest without doing due diligence.  

You may find you have an "unfair advantage" which you find an interest in utilizing such as a friend or relative with some sort of interest or connection in real estate or you might find a desire to do something way outside of your comfort zone.

I mean using the example in the article of a property value of $1,000,000 and a NOI of $100,000 would be 10% I would think if the property's NOI was $200,000 that would be more desirable.

. , how passive or active of an investment do you desire?

Talk to any tax expert and they will tell you that the majority of the tax code is designed to encourage the populace to start businesses that provide the benefits to society that the government deems desirable.

His mother passed away so he no longer has a desire to come back to my small town.

One idea you have not defined, which you don't have to share publicly, is your desired return target.  

Based on the fact that you are a full time student with no money and no credit your best approach would be to concentrate on school, if that is your desire, graduate, save money and build your credit.