(Self employed general contractor, income low on tax returns, but own house worth $1.2 million, no debt)Would love other opinions on this, not just our realtor’s.

But navigating all of their red tape got me into a really great property with a really low rate so it was certainly worth it.

Just FYI, the cash reserves ($2500) is low indeed, but that's for our company, not our personal lives and expenses.

You will be having a parent as a guarantor and it is their credit score you check not the student.As far as your credit score requireent is concerned 600 is probably OK for  C class neighbourhood but if your property is B or better 600 is far too low.

Appraisal is the wild card and honestly not many ways around it other then a good agent...and even then can be hard.Catch the wrong appraiser on a bad day at worst your screwed at low price or beat case you challenge it and win...but this still takes time.Remove the appraisal and you have much more control of the situation but lack a lot of the lending options...But 30 day can still be done and is done often (and runs concurrently with inspection so assuming you get past that).

Selling low and buying high never works, same goes with real estate.

but with minimum wages increasing and cost of production increasing, there will be a point where machines will cost less than human, and when that point hits... then yeah all the low income class jobs are going to get replaced by machines. 

I am looking at a property (triplex) in a B- neighborhood with very good schools around and very low crime. 

@David Harley I agree with Heath you are low on your expenses. $812/month for rent in that area also seems a tad bit steep, unless they are extremely nice units.

I also recommend reading Brandon Turner's book (buying rental properties with no and low money down), and just continue to save as much as possible.