No, anything less than the i7 1TB SSD M395X and 32GB RAM will be a disaster for you. Actually I recommend getting the Mac Pro with 12 core processor and Dual GPU for your needs. (Joking your setup is perfectly fine. Good call on getting the 16GB RAM as it is un-upgradable. I7 is overkill though).
Regarding fusion drive vs SSD, I asked this question a week or so ago on the differences in real-world performance between Fusion drive and SSD. 8/9 user groups will not find any significant improvement in a pure SSD setup
https://forums.macrumors.com/thread...sion-drive-and-ssd-on-latest-imac-27.1934282/
All the complaints regarding HDD noise, heat, and moving parts are way exaggerated. HDDs have been in use for decades. They've been used long enough to be reliable. As the iMac is meant to sit on your desk and not ever move, you don't have to worry about bumps the same way you would worry about a laptop (that being said, I have carried/used my HDD Windows laptop on plenty of bumpy bus and train rides and never had any issues).
In fact, the only time my HDD laptop ever broke down was because I spilled water all over it. Everything, the processor, motherboard, gpu, etc was toast... except for the HDD, which was completely intact. The only time I lost data ever, was a Western Digital external drive (Passport) which the laptop repair crew said the USB outlet had broken down, hence all the data was irrecoverably lost. (Which is why I look with suspicion on anyone who recommends getting a 256 internal SSD + external USB HD setup) So in my book - Internal HDDs/SSDs = good. External HDDs = bad.
In the end I'm a rather messy user when it comes to file management, and one thing I'd rather not think about is having to choose which files to remove from my desktop Hard drive to back up to an external drive, or vice-versa. I work with a lot of small files, and I want them to all be in one place for easy access. Fusion drive with its 4GB buffer is perfect for that purpose. I also only have to think about backing up one hard drive - which is the 3TB fusion drive, and never have to think about whether my main external drive is backed up, which backed up files are in this drive or in that drive, it all gets messy.