You may find in this environment you will be asked for 30%, 20 year, higher rate, which makes this deal look worse.If you pay cash....quick napkin math assuming 50% of NOI for expenses that leaves you with ~$70k which is a 3% return. 

I think some of the newer construction is sitting well above current market value and could be in jeopardy if the market adjusts or the economy continues to fluctuate with inflation.Depending on where you live and what your comfort level is there are several other states that can offer a better cash flow for a similar price range.  

Rent it and once your comfortable you can move one on the 2 property.

I would prefer to self manage to avoid the high poperty management fees (I think its around 10% + 1 month leasing fee, etc.) and I also worry that the property manager will likely not be as dilligent in finding high quality affordable vendors, etc.I see 4 major pieces of work1) Tenant finding: I feel comfortable doing this remotely.

Consider your comfort level with managing several mortgages and the risk of vacancies vs a slower but potentially more rewarding path to ownership.

Even if you're not making much profit at the start because you're investing in a better area, it should work out fine.If you're losing $100-200 per month but have a stable job, you should be okay.Most people get rich with real estate through property value appreciation rather than cashflow.If you're comfortable living with roommates, you can purchase a house in a good area you like and rent out spare rooms.

My issue is that I come from a low income background and have fought my *** off, pardon my language to get to where I am now and comfortable.

Perhaps this would make the lender more comfortable while giving you the benefit of settling with a shovel ready lot. 

Regarding the location, I could definitely see keeping it a while and it’s only a few minutes from where my wife and I live now which is a comfortable area.

@Demiss ShippleyHouse hacking in expensive markets is doable, but you may need to be more flexible or more creative.I agree with @Benjamin Sulka, likely in this environment plus being in a high COL, you'll likely not be able to cashflow unless you have a SFH with many rooms that you rent out individually.