I acquired two duplexes last year in Austin/the Austin area that are barely in the green with cash flow (but they are both in the green even with a significant hvac repair).  

I do have a couple of off market fixers in Oceanside that would just barely make your budget but needs to be fixed up and is approved for VA. 

I'm seeing places comparable to yours for $1200 - $1300 and the tenant pays all the utilities, which means yours may be worth another $100 - $200 if you're including utilities.RED FLAG: she said she can barely afford $1,200.

When I tell Tesla their model X plaid is overpriced because I can barely afford $50,000 for a car they don’t change their price. 

It is strictly a vacation rental investment property which barely breaks even every year.

Now there’s barely any rental listings here on Zillow.

It is generally the bare bones minimum of a lease.

An LLC offers at least a bare minimum of protection if a deal goes badly, and you deal with a litigious seller or buyer. 

Is a 3.5% down FHA worth it knowing that PMI will be locked into the loan for the length of the mortgage baring a refinance?

If the rates limit the cashflow to a bare minimum profit or break I would sell.