Advice Wanted...Good Deal or Not?

[Julie Taylor]

I’m working the numbers on what could be my first deal. Any advice or words of wisdom??

This will be a buy and hold
REO - listed at 40k
I want to make a cash deal to get a better price - Any thoughts on what to offer? 30, 32, 35, 37??
Repairs Needed - 15-19K
This is a conservative estimate – It does need HVAC, we may need to upgrade electrical system (Al wiring - House built in 70's) – I will have inspection to confirm.

After repair value - 95-100K
Tax value: 99K (Rehab home in the same street is on market for 110 - It's a little bigger)
Rent: 700
Taxes: 1000
Insurance: 500
Not a great cash cow after PITI, vacancy, maintenance, but seems like a good opportunity to build some equity.

Was hoping to mortgage it and get my cash back to go again, but I can't seem to find anyone that will work with me without 6 months seasoning.

Thanks so much for your input.