Buy/hold refi cash-outs only when getting $$ back?

[Vonetta Booker]

I'm looking at possibly purchasing a buy/hold that's priced at $35k. With about $20k, I'd be all-in at about $55k. However, the ARV for that neighborhood & type of 2/1 rowhouse is only $60k. With a typical investment property LTV of 75%, that would only give me a cashout of around $41k. (Average rents go for around $975).

My question to fellow investors is, do you even bother with properties with numbers like these if you're not going to get money back on the cashout/refi?  Are there other plusses you factor in? And would a workaround be to try to get the property for less & keep the repair costs lower, if possible?