What makes you think that $\varepsilon > \frac{7}{x + 3}$?
In fact, given only that
$\left\lvert\frac{-7}{x^2 +3}\right\rvert < \varepsilon,$
it is possible to choose $x$ such that
$$ \frac{7}{x^2 + 3} < \varepsilon < \frac{7}{x + 3}.$$
It might be instructive for you to try to find such an $x$ for some particular value of $\varepsilon,$ let's say $\varepsilon = 0.001.$
That is likely what your teacher was thinking.
However, there is another viewpoint.
We are trying to find an $N$ such that if $x > N$ then
$\left\lvert\frac{-7}{x^2 +3}\right\rvert < \varepsilon.$
We can show that if
$N = \sqrt{\left\lvert\frac7\varepsilon - 3\right\rvert}$
then this value of $N$ is sufficient.
But if that value of $N$ is sufficient, then any larger value of $N$
is also sufficient.
And the proof only requires us to find a sufficient value of $N$,
not the smallest sufficient value of $N$.
In other words, it is good enough to choose any $N$ such that
$N \geq \sqrt{\left\lvert\frac7\varepsilon - 3\right\rvert}.$
Provided that $\frac7\varepsilon - 3 > 1,$
we have
$\frac7\varepsilon - 3 > \sqrt{\left\lvert\frac7\varepsilon - 3\right\rvert}.$
So if you set $N = \frac7\varepsilon - 3$
you have $N \geq \sqrt{\left\lvert\frac7\varepsilon - 3\right\rvert}$
and you should be able to finish the proof.
But there is a caveat here, which is that for some (large) values of $\varepsilon$ we have $\frac7\varepsilon - 3 < 1.$
By setting $N = \frac7\varepsilon - 3$ in those cases you get an $N$
that is not large enough; it might even be negative.
So you have to say something about those cases, such as setting
$N = 1$ in case $\frac7\varepsilon - 3 < 1.$
What I think you should learn from this is not that one method is better than the other. Rather, the lesson is that regardless of which method you use,
it is important to explain why you are taking each step so that the reader can see that the step is a correct step for that purpose.
Indeed, strictly speaking, the calculations you showed are not even part of the proof. Yes, you must somehow devise a way of setting $N$ such that
$x > N$ implies $\left\lvert\frac{-7}{x^2 +3}\right\rvert < \varepsilon,$
but you don't actually own the reader an explanation of how you came up with that particular formula for $N.$ All you need to show is that $N$ produced in this particular way will always work.
But if you do show these calculations, you need to explain them.