Tiny 2 bedroom house rental a viable option?

[Rick Santasiere]

Good evening BP,

I am a relatively seasoned SFR investor, and have one MFR, and one under contract. SFR's never create much cash flow, but I wanted to throw this out at the forum to see what your opinion(s) are:

Turn key ranch in CT in a Class B-/C+ area.  Homes on the street have gone from $50k-$190k.  This one is a ranch UNDER 700 square feet! One bedroom is 9' 1" X 9' 6" and the other is 12' by 9' 5." I am intrigued because the place could be had for a deep discount.  Rentals (two bedroom) in the area are fetching roughly $900/month.  The figures don't make much $$ in cash flow using all the formulas, but my thought was to just keep renting it until I can get someone into a lease option to purchase. I have done several LO's as of late and they have all worked out for me and my clients.

Just wanted other people's thoughts on it.  It is extremely nice, just super small.  Thanks in advance!