Deep discount vs Buying on terms: Analyze deal

[Michael Baradell]

Hey BP!!

The question that I have is, how should I analyze a deal that is slightly below market value, but I can get the property via seller financing with very little down? Here is a quick look at the numbers:

$1,100 for all carrying costs (PITI)

$1200 - $1250 monthly rent. 

Sales price will be slightly below market value and I would only need to put $2k down. Home is in great condition ( less than 10 years old) and in high demand area. 

Although this deal does not offer much monthly cash flow, if any after capex and other costs factored in, due to the fact I can acquire on terms, is this a deal to pursue??