I am at the point where i have $100K cash, and thinking of persuing multifamily or retail (strip mall).

Nevertheless you have to run your race at your pace not someone else.Consider spending 30 minutes for 30 consecutive days on Bigger Pockets.

The retail value after rehab would be 91K, the bank is asking 65K, I am putting an offer of 26,600.

I performed a credit/background check and had a misdemeanor charge of retail theft that he claims that he was not charged for and that it was a misunderstanding. 

Any one helping retail buyers in the Spring/Summer will concur that it is a serious battle to get qualified buyers into homes during peak season.

Things definately go at a different pace there than the mainland, no?!!!!  

Not big money, but with very little money out of your own pocket, the percentage returns should be astronomical.You haven't said a word about operating expenses as a buy and hold nor rehab costs to get the property to "safe, clean and livable" (which normally will be well below the cost to make a property marketable for retail sale.)

where could I search for how much it could be rented (in case, the house is rehabbed as is and try to rent it as little office), or what would you analyze to consider remodeling to create two retail spaces?

Generally speaking from an economic perspective, interest rates increase when inflation increases in an attempt by the central government to control the pace of inflation. 

A property which offers 1st floor retail as well would be a terrific challenege that would allow my project to have even more impact.