:)  You will want to do both A and B. you will want to save enough for a down payment and enough in cash reserves for a rainy day fund.

And request payment within 10 days to avoid legal ramifications. 

Just make sure you have a solid team in place that you trust when doing it out of state. 

If you know and trust the person, then go with them, but let them do the job and step back.  

Or is 20% or 25% the lowest possible down payment on an investment loan? 

I would focus on connecting with a good team you trust.

Obvious first question is: what happens when the tenant stops making those monthly payments? 

Is there anyone who can guide me please if you have a trusted company?

Any suggestions on how to get the old 40k IRA available to use as a down payment into real estate?

I would say 5-5.5% is the sweet spot for when folks will demand will rush back, partially due to mortgage payment affordability and partly psychological, after seeing both 8% rates and 2% rates in just the last handful of years.