Was Albert Einstein offered the presidency of Israel and turned it down since he thought he was not smart enough to do it justice ?
Einstein was smart to reject it.
Einstein had conflicting views, he supported the creation of a Jewish national homeland in the British mandate of Palestine but was opposed to the idea of a Jewish state "with borders, an army, and a measure of temporal power."
In 1948, prior to the creation of the State of Israel, Albert Einstein was solicited by the Stern Gang to raise money and support for its terrorism against the British and the Palestinians. In the United States, the Stern Gang operated under the title of "American Friends of the Fighters for the Freedom of Israel." The letter below shows Einstein's response written the day after the massacre at Deir Yassin, the same day it was first reported in The New York Times. The original letter is slated to become part of the Deir Yassin Remembered Archives. He deeply criticized Menachem Begin's Herut (Freedom) Party for the Deir Yassin massacre attributed to "terrorist bands", and likened Herut to "the Nazi and Fascist parties". He further stated "The Deir Yassin incident exemplifies the character and actions of the Freedom Party". Einstein said of the party that "Today they speak of freedom, democracy and anti-imperialism...It is in its actions that the terrorist party betrays its real character", while also criticising Irgun by calling it a "terrorist, right-wing, chauvinist organization".

Further Reading:
David E. Rowe & Robert Schulmann [de], Einstein on Politics: His Private Thoughts and Public Stands on Nationalism, Zionism, War, Peace, and the Bomb (2007), p. 33.)
Evan Wilson, A Calculated Risk: The U.S. Decision to Recognize Israel (1979) 2009 p.149.
New Palestine Party Visit of Menachem Begin and Aims of Political Movement Discussed