lose money but get massive equity...

[DJ Cummins]

hey all.  so I have chance to get a steal on a property.   I could buy the house for 65k under the appraised value.  Problem is I will be losing about 200-300 per month in rental income.  The thought of all that equity that could be used on another property is driving me crazy.  What are your thoughts?  This home is in the nicest subdivsion in the towI.  Taxes are crazy high...like double what they would be if they were two streets over.  Is this a deal you would go for knowing you couldnt break even each month?  What would you do with all the equity?  Buy a couple duplexes at 20% down is my thought.

[Josh C.]

Sounds like it should be a flip and not a rental. Don't forget about FHA anti-flip rules.

Good luck