Assuming negative cash flow -Does it make sense?

[Michael C.]

I have an opportunity to assume a loan on a SFH for very low cost, maybe a few thousand in fees to transfer. The issue is that the property will not cash flow as a rental. If I can get the house for essentially free does it make sense?
2000ish build 3B3B SFH. current loan is at market value and around 6%.
PITI around $2,800. Long term Rent around $2,300.

Here are my thoughts: 

1 This is not a deal, cashflow is king.  Don’t buy a loser. Pass.

2 If the out of pocket costs are so low vs buying a comparable with 20% down both will be negative for +5 years anyway right? if I put $80k down to make $500 a month or lose $500 a month with no down payment until rents catch up to current market. It’s just a function of finance and Net Present Value. Either start $80k in the hole with +$6k cashflow or start $0 in the hole with -$6k cash flow. 
This also preserves my cash to still find more opportunities. 

What do you think, can I make a deal out of this? Which chain of thought makes sense here?

[Michael C.]

@Jaron Walling

Yes motivation will be tough if something expensive breaks and it just looks like a big bill. I haven’t had that happen yet though. Mortgage balance will drop about $500 a month with each payment also so it’s not completely going in the trash. 

I can put $80k in corporate bonds and make $500 a month in cashflow. This still leaves the $80k principle relatively accessible. I would obviously have reserves.

It really is just a gamble if the market will keep inflating or if it will drop this would show if a long term hold would work or not. 

@Ned J.

Hi Ned thanks for the reply, yes I understand, it’s not my first time around the block. I’m trying to explore out of the box options because with current rates and prices nothing looks good. I would be relying on rents to increase, wasn’t considering a refi as it’s already a little below current rates. If rates drop prices will start going up again. Rents haven’t caught up to current borrowing costs. So everything is a little out of wack.