Okay, the explanation for how two Wally Wests exist in the New 52 universe actively makes no sense if you've actually followed the New 52 Flash comics. The original ginger Wally says he's the son of Rudy West, and everyone just forgot he existed, and the new Wally is the son of Daniel West, the first New 52 Reverse Flash. Except... new Wally was the son of Rudy West. They specifically established that Daniel was his uncle, and also, Daniel would've been 10 years old when new Wally was born.
Chalk that up to further manipulations, like Captain Atom being around.