If it turns to crap, at least you will have learned some valuable lessons.I’m in a similar situation but I’m looking at lower price ranges, and I am terrified but I’ve doing all the due diligence I possibly can.Good luck to you!

If you moved because of military orders, you still qualify, only with a lower maximum, which should not be a problem.And you're still unclear about the use of the property.

I was going to suggest at your purchase price you might also look into unsecured loans from say Marcus by Goldman Sachs , or if your credit isn't quite good enough for them you can try Lending Club, or loan depot they all do unsecured loans and some will do them with less than perfect credit.Another option is one I'm using now just a construction loan, with a regional bank here.. they are loaning me 60k for a home 30k purchase and 30 for repairs/personal debt.. to lower my debt to income ratio..

Ive only had rents ever drop on my lower priced rentals, never on my higher priced ones.

One thing that may be good about purchasing a small multi-family to live in and house hack is that you can typically get in with a lower down payment (where as if you wait until it becomes a true investment you wont typically get in for less than 25% down).

It would allow you to invest in some short term notes, maybe with builders, to keep your money earning a net return while only being committed for a short time frame.  

I just dont know how to suggest lowering the price even more.

I believe they will go lower but the rate would be higher.

@Robert Walston The lender I just gave the "green light" to get pre-qual'd mentioned putting 20% down to help lower the monthly payment, but I didn't really question it, as I don't plan on doing that if not required.But something that did catch me off guard was that he suggested I might need to show the (income) ability to carry the entire note, as if there were no tenants.This may not be difficult for a duplex but a 3-4 unit would be.

At a lower purchase price of $325,000, the net monthly incomes goes up to about $700/mo and the cash on cash ROI goes up to about 12% which are my ideal markers.