Need help with first deal

[Zac Davis]

Greeting BP community,

I am very new to all this and Im trying to figure out a deal. i have an opportunity to purchase a 3 bd 2 ba for 113k. it has a den now that can be converted to a 4th bd. the estimated costs to make it rentable are 7k. It was built in 2009 so im not to worried about any major issues. 

comps in the area are 140-155k

rents(4bdr) go for 1100-1300

the above is the basic information that i got from a wholesaler. Here is where I run into issues understanding how more experienced investors would make this work

I know that the comps for the area are around 140-155k but it was pitched to me as a good buy and hold property. at first i wondered why this was important to know, but then i realized that when i refinance to a conventional loan the banks will refinance something like 70% of the appraised value?? im really not sure where that number came from as i have read so many forum posts and cannot remember where i read it. 

if this is true and 70% is the amount i can refinance, at a price of 113k plus the 7k, i would need the house to appraise for well over 150 in order to pay off the money i used to buy the house.

as you can tell im probably way off on a few things here. i really need some help understanding how this works.