First Time Home Buyer

[Kelly McIntyre]

Hi All, 

I'm experiencing rushed analysis paralysis. Can someone help me understand if this is a good investment? 

I'm looking to buy a condo in a nice neighborhood the median zestimate is $510K. This would be my first investment property ever but also my primary residence for the first couple years. The property was listed yesterday for $150k and went under contract today. The contract fell through because the HOA had lower reserves than the amount required by Fannie Mae.

It's a two bed, one bath with HOA fees of $195/month. The avg. rental rate for this area is $1,000 - 1,100. I can do 20% down to avoid the issues with the reserves. From what I understand my monthly payments would be ~$970/month.

Does this sound reasonable? Or should I run?