Looking at this Condo, good deal?

[A Schweda]

I am looking to purchase a condo in a decent area, imo ( Phoenix AZ).

Currently it is on the auction site Hudzu.com. Currect bid is $42k. Asking price is $60k.

Here are the numbers based on a $50k purchase price:

Cost Assumptions Purchase Price $50,000

Improvements $2,000 ( Tear out 2 bedr carpet + paint + misc )

Closing Costs $2,848  Auction site fees of 4.5% plus $299 Doc.

Total Cost $54,848

Finance Amt $40,000

Downpayment Amt $10,000

Cash Outlay $14,848

Revenue Assumptions Monthly Rent $675 ( Average for complex )

Vacancy Rate 8%

Annual Cash Flow $3,233 

Cash ROI 21.77%

Total ROI 24.51%