About to buy first turnkey duplex in Indy, need advice!

[Travis Darden]

I just walked a really good looking duplex here in Indy with a realtor. Has new furnaces, hot water heaters, cleaned up really nice. Neighborhood is probably a C with B potential. Seller is asking 118k and currently has a contract on it but feels like the contract is going to fall through. He's actively marketing it to be rented ($700 each side). It will need a fridge, stove, W&D on both sides. Currently empty on both sides, hasn't been on market long... Appraising around 120k. I plan to use my HELOC to buy it from another property I own out of state but concerned about having so much of my money tied up in one duplex. What should I offer?