First Property Help

[Rajiv R.]

I’v bounced back and forth about what type of property to purchase for my first investment. Started out ambitious and wanting to do a value addc but I’ve been looking since last year and properties like that in my area were going above ask to all cash buyers mostly (according to my realtor and these were mostly late last year and early this year). 

There are also the risks involved with rehabbing.

I then decided to look at properties that were already renovated and found one in a B-/C neighborhood that looks like it was patched up. It’s been sitting on the market for 2 weeks (I think unusual for the area) and I’m hesitant to pull the trigger. I’m also suspicious (partly what’s keeping me from getting anything at all) because the mortgage would come to $1500-1600 at 7%+ interest and comparable rentals in the area are listed for $1900-2300, but that seems too good to be true. I haven’t yet found a property that cash flows like that, particularly in this environment. 

Another issue is the paint is peeling in one of the rooms in the newly painted property. No idea why that might be the case but fear what could be behind the walls. 

Sorry for the long post but any input or advice would be appreciated!