New to real estate investing

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I am new to real estate investing and am looking at bidding on a hud house. I have listened to many gurus..... and have read several books and think I have a good handle on how to evaluate the house but what I have come up with to bid seems very low. The house is listed at 66K there is what I estimate at 20K in repairs. It is going to be a buy and hold property. I estimated the rent at 600 conservatively it could go as high as 800 a month. If my calculations are correct I would have to bid like 23-26K in order to get it at a good enough price. Is this realistic to go this low? 

I wouldn't count on HUD properties solely. They can be found at good prices but there are much easier avenues than dealing with the HUD bureaucracy.

Thank you, my plan was to look at many different options. I actually lost that one to bid on too late for me. I found another that was next to it that is being sold on a short sale. I know what this means as well. Lot's of waiting and more governmental waiting. But I am excited to try my skills at negotiating and see what happens. In the meantime I just keep looking.

If anyone has ideas of good places to look please feel free to suggest.