Buying second SFH rental, but a big question going into it

[Jason Lowery]

Hello, First question for all of you. Stumbled on a great deal that I cannot turn down for a second rental property. Currently own one property free and clear that brings in $1100 a month. We paid 40k for is and it is worth 125-130k all day long. The new property is being offered to us at 35k and is worth around 100k. It does not need much work, minus paint and some flooring. My question is, the owner needs to off load it (we know him personally) and offered to have us pay him monthly payments for 6-8 years with no interest being charged. He will sign the property over to us now. Should I take something like this, or go the conventional loan route from a bank with interest. Did not know if it would be better to have to interest to write off or not. To me a free loan seems to make more sense. However, being a rookie at all of this, which would you guys recommend? This second unit will probably rent for 850-950 a month based on what other local SFHs are renting for. Any information would be great! Thanks in advance.