Looking for some advice if this is worth it or not.  Looking at possibly purchasing a LTR condo in Florida.  Something turnkey in an “A” neighborhood as a passive way of diversifying assets.  Not looking to expand to multiple doors or properties.  Wife and I both have good W2 jobs (with pensions), almost paid off primary residence in NY, and majority of assets are in stocks, annuities, funds etc.  After much searching this is what I found:

685 sq ft condo in Orlando. Condo associations has good financials and "big projects" already done on the building so likely no HOA or assessment surprises for awhile. Unit is in good shape with solid existing tenant paying market rent. Rent will cover HOA, taxes, management fee and mortgage. (1650 rent) (1584 expenses). This is with 40% down (76k) and (115k) 30 year mortgage at 7%. Seller is asking 215, market value is around 205, I would only do the deal at 190. Assuming I could get it under market value, does it makes sense to do the deal? The Down payment isn't a big deal and doesn't effect me otherwise and I don't need monthly cash flow. Logic is that if I can buy under market while things are tight and not many people are making offers, and I can break even on the property monthly, I can build equity, refinance later and rent/appreciation should occur in A neighborhood. Unit itself is small, in good shape and won't require much maintenance. Eventually sell or cash out refinance later and use it as down payment on personal second home 10-15 years from now. Or is this all just a lot of work to achieve similar results as an annuity (81k down payment and closing costs) getting 5.7% guaranteed compounded the next 7 years with no headaches? Figure there can be tax savings on the real estate deal if I can do a 1031 down the line into the vacation property. A lot to unpack. TIA.