I  Income:  The amount of property you can buy will be dependent on your Debt to Income ratio.  

We are not looking to conquer real estate but just start generating some passive income I hope this finds you all well.

Would that lower our tax liability from other income we receive or no because this is purely RE and not an operating business?

Lenders will want to know if the property is generating income and if it qualifies for a DSCR loan or traditional financing.

Also due to price increases you can probably cut a better deal on an existing home and probably get better quality too.Normally you'll probably need a couple of years of income to get a loan. 

Insurance-  we had 18 months of full lost income coverage.  

Given your situation, a property closer to Nashville might be more advantageous for short-term rentals like Airbnb, as proximity to a popular city typically attracts more guests and higher rental income.

I am 30 myself income is good and I love my job so I am not looking to replace my income, just looking to invest wisely and build wealth. 

And as time goes by, rents will increase and your income will look better and better.My first investment in 2004 made $35 more than the mortgage.

For a 2 unit, an appraiser will rely on comparable sales, but an investor looking for cash-flow may care more about income.