Good rental opportunity, yes or no?
I recently stated in an earlier post that I had a lead with an 89k mortgage on a property that needed a little bit of work. Arv is about 92k. She is ready to walk away because her husband recently passed and she does not live in the property. Her son lives in the property who is currently not paying the mortgage which is around 340. The mortgage is about 4k in arrears and maybe about 7k in rehab cost.
It seemed as though all hope was lost until I thought about turning it into a rental this morning. If I could take control of the property with no money down to her, just to relieve her of a stressful situation, in theory I could pay the 4k and the cosmetic rehab cost and rent the property for about $950 per month. I was thinking this could possibly work because I would have a small amount of cash invested and a good rental return.
What do you guys think??