But wondering if I am being wise in investing in this house with the cracks issue though the price is low as per comparables. 

I bought the duplex with a hard money loan and used my cash to rehab the property instead of refinancing it into my conventional loan.I recommend starting with a duplex.When I refinanced from a short-term hard money loan, my property had to be appraised.Cost-wise, I didn't have to spend any money, it was factored into my new loan.

Be careful that you are not being penny wise and pound foolish as cheaper providers do not have the safeguards necessary to protect your funds.  

I think you are incredibly wise to start with something more turnkey.

Keeping good records now will make depreciation and future taxes much easier to handle.Using equity wisely: With the property valued significantly higher than what you paid, options like a cash-out refinance or LOC can give you funds for your next deal.

I would definitely find someone in the area who has done a lease in last 6 months and find out what they did price wise.

@James Wise Thanks for the great clarification!

My general rule of thumb is that if they can prove it documentation wise, ie provide the title statment, you could even call the title company and further confirm things if she gave permission, but as long as you perform the standard due diligence of confirming all the information to a standard you feel comfortable with, I would personally not have any issues with accepting someone in that situation.

I think having an interest in real estate investing at any age is wise and you can always fall back on your degree should you choose.First, can you make a career and future out of property management?

@James Wise nice!