Should I buy house out of father's trust - or do another deal?

[Kevin Klyse]

Hi everybody - looking for some advice. I have an opportunity to buy my father's house from the trust. Here are the numbers 

Appraisal: "as is" - $1 million

It will cost me $650k to get in: buy out family and pay off existing mortgage

Repair costs to get ready for rental $100k-$150k

ARV $1.3 mm

Rent $4500-$5000/mo

Tax basis will stay current - $5K per year

$650K loan @4% interest only 7/1 ARM $2167

Should I do this deal or take my 400k out of trust and find another deal?

The house is ten minutes from my house. House is in San Rafael Ca. Marin county