Buying a Foreclosure
Hello everyone! My husband and I are looking to buy a foreclosure sold by a gov agency basically as a live-in flip into long term rental. For context, the comps in the neighborhood are about $285k-$325k and we have it under contract for $260k currently. Asking price was $240k but then they asked for highest and best and when I ran the numbers (to the best of my ability with limited experience) 260k was the highest we could offer and still get a monthly payment that was about $400 below comps for the neighborhood (so that we could at a minimum break even once accounting for cap-ex, vacancy, potential property management, etc).
Anyways, to say I am overwhelmed and second guessing myself is an understatement! lol. We go into inspection this week and I am so nervous, and won't know until appraisal if its even worth what we offered but I'm curious overall if even trying to buy an "as is" foreclosure is a bad real estate deal.
Thank you!!!