However, I hear all the time that interest rates are so low that it's worth it to finance real estate with debt if possible.

I want to be able to carve my own path and not be worried about people telling me "if you're not in your career by 35 you'll be doomed to low-paying jobs." 

My idea of getting into real estate investing was coming up with 20% of your own money (that's 60k where I live for a low end property), traditional residential mortgage, net maybe $200 a month if I was lucky and repeat the process when I came up with another 20% until I had maybe 40 properties.

Properties are generally much cheaper relative to the rent they pull in, than in NY.3) Lower fixed costs - lower real estate taxes for starters relative to your rent roll, etc.4) Lower variable costs - labor is A LOT cheaper here.  5) Less stringent code enforcement.6) Less maintenance - milder weather, and younger average age of homes make for less maintenance.   7) Diversification - low entry price to buy property allows and investor to manage risk by buying properties in different neighborhoods instead of putting more eggs in one basket.In additional to the benefits I listed above the city is growing so fast that homes rent very quickly, often times before the sale of the home.  

I asked my realtor why the low price and the previous owner owes $119k and is trying to leave the area.

( sewer line replacement , heating system failure, etc )  you need to have funds available before problems happen 

Your lender is giving you an opportunity you wouldn't have otherwise (to buy, rehab, rent, refinance and repeat) and in this instance, looks like a fair (even low) price.  

We stopped using bandit signs becasue it cant be a real hassle and the respone rate in my area was very low.

I'm starting off as a no to low money down type investor lol with so much more to learn.

Welcome to BP @Xavier Tazanu Check out Brandon's book on Investing with no or low money down, it's a great resource on creative financing.