Problems with creation of accurate DEM with S1 images

Have you incresed the maximum RAM available to Java? It is described in these posts.

In case you only need this small AOI, why do you select all bursts in the Split process? You reduce the processing time and the chance of unwrapping errors if you keep the raster as small as possible.

I cannot tell if the conditions are good for the generation of a DEM, this mostly depends on the vegetation cover of your area (which is always bad) and how the interferogram looks like.