Due to unforeseen extended family issues, I don't feel comfortable leveraging anything for more property at this point (although I'm always looking for something suitable) or investing more than $50k or so in a low-risk project.

These cash reserves should include repair costs, vacancies and unforeseen emergencies.  

That would be pretty thin if you have high financing costs or anything unforeseen comes up during the project.Long story short, you can find the financing you are looking for if you make enough phone calls.

Others wait until you're pre-qualified and they're pretty sure that they can close  your loan (barring any significant unforeseen circumstances that pop up during underwriting).

To the last point, I would say there are three categories (in order of increasing preference as a target tenant):- people who rent because they have no choice- people who consciously chose to rent- people who unconsciously choose to rent because they think they have no choice.The people in the first category may be living paycheck to paycheck, and any unforeseen expense can get them in trouble, and really work that vacancy allowance that you built into your budget (right?)

My thinking was that my money would be used for those holding cost you mentioned as well as to cover the repair work while the draws clear, plus any unforeseen cost. 

If you're comfortable with margins of 5-10% with no margin for error if an unforeseen repair of significance should arise then you could revisit those properties you passed on early.  

I am currently building cash reserves through wholesaling to get me over any unforeseen rough spots that occur in this business and my long term goal is to owner finance properties to those who may have some problems getting a loan to own a home of their own.

Total rehab $5,000 worse-case scenario barring any unforeseen issues (offer would be contingent on home inspection, obviously).Rent potential for 2/1 side of duplex $650-725.Rent potential for 1/1 side (I will occupy for 1-2 years) - $450-500.

If the numbers no longer work due to unforeseen repairs then renegotiate the price/terms or cancel.