I can agree that a 10k price drop isn't going to attract any newer buyers or previous viewers.

What will it rent for after fixed up.Lets say $800 -35% Expenses  = $520x12=$6240/$110,000= 5.6% CAP rate Is the rent amount the going rate for a 2/1 and is 5.6% CAP rate enough to attract an investor?

Also look at the type of neighbourhood as some will attract a better quality of tenant meaning less problems paying rent and they will take better care of the house...generally speaking.If you are going to be in college, what about finding a place where you can live in it and rent out rooms?

Do I do a bigger deal and try to bring in partners while doing the leg work to attract investors?

As long as you have one unit open, the property will still be attractive to owner occupant buyers, who are often willing to pay the highest prices for properties since they usually self-manage and get better interest rates on their financing.

The homes are in South Florida so should be attractive to people up north and in the Midwest. 

Remember, the quality of the asset will provide safety and affect your return over time by reducing turnover (cash-flow killer), attracting a good quality tenant, and giving you an opportunity to exit (sell) the deal in the future. 

The latter, I believe, may continue to gain momentum as it gets increasingly difficult to attract and retain talent given the high cost of living in the Bay Area.

That is at least half the attraction to this product type:  You're able to buy cheap distress properties.

@Jesse Fernandez lenders are assuming you will refinance with them, and they normally will make it attractive to do so.