Is this worth pursuing

[Sean Chen]

Hi Gurus,

This is a duplex with one unit having finished basement rented out to a Section 8 and anther side to a non-Section 8, both would like to stay. Here are the numbers:

Purchase price: $290,000 (I could spend $30K to finish the other unit's basement to increase the rent)

Mortgage (principal, interest, and tax): $1330/m

Rents: $2,350/m (If I finished the basement in the other unit so to increase the rent, I could get $3,080/m)

Down payment: 20%

Property Management: 8% of rent collected

The property is in decent shape but the roof needs to be replaced (but not immediately) which cost about $6,000.

Is this something I should consider or run away? After reading similar threads (Is this deal worth pursuing ...), I began to shift from interested to runaway mode. But it is really lack of any deal out there at all. 

[Chris Martin]

Regarding "But it is really lack of any deal out there at all." I have this comment. Try not to become a motivated buyer. As others say, and I agree, a bad deal is worse than no deal at all. If you are shifting from interested to runaway mode, then perhaps you need to keep looking.