I am assuming insurance, taxes and some local fees would be applicable as part of the expenses. 

My suggestion is to define why you want rental real estate and then you can source markets and asset classes that cater to your personal life goals. 

Actually buying in a place I lived before moving to CA, it has had very strong long term growth for many years and I already have all the necessary infrastructure in place (agent/mgr, insurance guy, etc.)

I found BiggerPockets from reading "The Book on Investing In Real Estate with No (and Low) Money Down: Real Life Strategies for Investing in Real Estate Using Other People's Money".

 $66k left on the loan ($600 month payment with taxes & insurance).  

I have come to realize that working 40 hours a week with low pay will not allow me to live the life I want to live.

Taxes and insurance will eat over half of that. 

I've been told that umbrella insurance might be a better option, simpler, cheaper, while providing adequate coverage for most individual situations.Any thoughts? 

I accelerate slowly that's why I waited until now to say hello, but it is because of his recommendation that I joined.A bit about myself: I have lived in Massachusetts my whole life, I work in Boston as an animator for a research group at Northeastern University.

., pay for property insurance, rehab cost, etc. with your personal money)- Using non-recourse loan: As Jason suggests, you can take out non-recourse loans for your IRA/401k investments.