Hard money loan on foreclosure home

[Tyler Gunn]

Hello,

I am a new investor starting out. I am considering buying a tax foreclosure property with cash and taking out a hard money loan to cover repairs. After looking at comps in the area I estimate after rehab value will go for 200k. I believe I can get the foreclosure for 60k and my contractor estimates around 80k in rehab costs. Does anyone have any advice if this is worth the investment or things to watch out for in the process?

Thank you in advance