2 bedroom rehab deal in a small town

[Jeanne Hink]

I’m about to look at and analyze my first investment property. From afar it looks great. It’s an estate, needs TLC, has all appliances, new electric, is in the right school district and the owner is motivated and negotiable. It’s a 2 bed 1 bath bungalow. he’s asking $32,500. It’s close to where I live, in a relatively small town of Hermitage, PA. Our area doesn’t appreciate much but is somewhat stable. I could probably get between $500-800/month rent out of it. I don’t know if I could add on a third bedroom, or not. My questions: 1. Is this best as a brrr or a flip? 2. If I renovate at all as a brrr should I do it only if I can add a 3rd bedroom and 2nd bath? 3. Should I keep as little of my own money on the deal as possible? Or try to have as much equity right now, as this is my first deal? Thank you very much. I appreciate everyone’s help here at Bigger Pockets Jeanne