I need advice on a deal I'm thinking about buying

[Bryan Templin]

Ok so I meet this older gentleman who's willing to do seller financing I'm looking at his portfolio hoping that there's a deal or two that would fit my buy and hold strategy Upon discussion I see a property that fits the mold A 4 bed 2 bath house the numbers look good he wants 140k for the property I looked on Zillow and it says that the property was foreclosed on and that the zestimate is around 165k He currently has a renter in there that rents for like 600$ a month and he told me it was an old friends of his children that rent it He then said that he's going to give them a year lease so the rent can't go up for them This rent is already about 400 below market value I'm not sure if it's been forclosed or maybe he bought it that way He'll let me put 10% down and 5%interest rate the negotiations went my way during our lunch meeting What do you guys think about this deal? I'd like to buy and hold but I'll lose money every month Or I can't wholesale it possibly ? If it is worth 165-169k I can easily sell it for profit Thoughts?