Would You Buy This Place?

[Tom Wolfe]

Hey Guys,

First time on the forum and I just wanted to see if you think this would be a good buy for a long term investment.

Looking at a property in Grover Beach, California.

Its 600sq ft with a garage. Built in 1950. 

1br, living room, dining area, kitchen, 1 br.

7,500 sq ft lot zoned r3.

Inside has been taken care of and looks nice.

$8k in termite damage.

Price is $360k.

Long term tenant (20 years) section 8 - pays all utilities. rent paying is $850

I checked with section 8 and the most they will cover for this place is about $1200/m +-

But every scenario i run (cash & loan) this place doesn't really make as a good investment. The property is valuable especially since it's zoned R3 and right near the beach but even if this place was paid in cash, i project after all expenses i would make about $600/month.

Is this something you would pursue?