Need Advice - Inheriting a 2/2 Townhome in Another City
Disclaimer: Brand new to REI, but love investing and have always wanted to add real estate to my portfolio. That's why I came to BP: to educate myself and start down that path.
My dad is not well, and I just received a boatload of legal paperwork from his attorney. I don't fully understand all of it, but basically he’s leaving everything to me, including his modest 2/2 townhome. He’s verbally told me “you can do whatever you want with it when I’m gone: assume the mortgage/ownership, or just let the banks have it.”
I thought this might be the perfect opportunity to gain my 1st rental property, however…
1. The townhome is in a BAD neighborhood: violent crime including armed robberies, theft, and constant drug busts.
2. My dad paid way too much, and is upside-down on the mortgage.
3. I feel my dad has OVER renovated... sinking tens of thousands of dollars into high-end windows, hardwood floors, high-end appliances, and a totally remodeled kitchen.
Given those factors, I don't feel that I could charge high enough rent to cover the mortgage AND have a property manager--which I'd definitely want... considering the neighborhood/crime. Additionally, I don’t think I could sell it for anywhere NEAR what it’s worth. His renovations have, in my mind, put the value WAY above comps in the neighborhood.
Thoughts? Ideas? Recommendations?
I really don’t want to “just let the bank have it” as my dad suggested. That seems like a ridiculous idea. I'd like to think there's some kind of investment opportunity here.
Thanks in advance...