Is this a good deal?
I'm in Bergen County in North Jersey. The owner of the home next to me is moving out, and offered me the home before it goes on the market. The price offered was 260k, similar homes in our neighborhood are displayed as around 300k in zillow.com, however one similar to the one offered to me, just sold for 230k. I'm not sure how reliable Zillow and similar websites are due to this. However, I am interested in if putting an offer in or purchasing this home would be worth it.
I'm assuming I would have a $1500 mortgage payment. And maybe I could get a $1300/month rent. but that wouldn't make it worth it. These are just assumed numbers. However, if I could get a $1500 rent, why wouldn't the renter just purchase a similar home?
The other option would be if I could get the cost down to 200k and then rehab it maybe I could sell it conservatively for 300k.
Mainly, I'm simply just motivated since this home is right next to me, but I'm not completely sure if its a worthwhile deal.