So I flew out from my house just about a mile in, and at roughly 200ft in height. First I started losing GPS signal and I thought ok it is just small ups and downs and 1 minute later it gives me a No Image transmission error. And says disconnected from the device. I am here panicking that am I going through the Karma phase again. Luckily I turned it around and it picked back signal again and I just brought it back home. I thought this would go up to 4.3 miles? I couldn't even pass the 1mile mark. I have calibrated and updated and all. What would be the issue? Is it only able to fly at a distance in open field?

The antennas are in the front arms so when you turn around you should get signal back.
The advertised distance is in the perfect condition with no interference at all.
If you take it to a wide open area with nothing around, the ocean is a good place with no interference, then you should be able to get the advertised distance.
Also, make sure you have correct antenna orientation, maybe this video will help and explain interference.

Thank you. That made it clear. I need to fly it in more open areas then