Why not take the time to feel confident in that decision?

Sounds like you have the most important character trait when it comes to getting into real estate investing: CONFIDENCE.

I normally wouldnt even think about this, but given I do not want to touch my cash reserves and I am not confident in the markets returning 9% over the next year, when I can then turn and pay my loan back off. 

Just spend some time learning as much as you can, knowledge breeds confidence at which point you'll know when to dive in.

Be sure to evaluate that market well and be confident it will continue to be a hot market before leveraging that more.As for your evaluation of our local market, I have to disagree.

There are concerns about longer lasting impacts that hamper the recovery (affected sectors, lack of confidence, and increase in household savings during the lockdowns).

If you spend time going through the previous owners belongings, be confident that you will find item(s) and/or something that will pay for that time spent plus some.

Makes a big difference in investors confidence in you to perform as well.

Know that you can do it and are confident.    

So I am pretty confident I can get him down to at least $360k.