6500 cash, 350 a month?! (first deal, maybe)

[Colby Easterling]

I've been bombarding my buddies I work with real estate for the past couple months on the job. Basically ever since I joined BP. Well, it paid off, my boss/friend sent me a facebook market place link to a SF home for 6,500 bucks and said "want to go half?". I immediately called him to confirm he was serious. Ran it through the BP calculators (worse case scenario it cash flows 125 bucks with 30% maintenance, and 10% manager fee and no improvements to the property), found the sellers number on FB and called him. He's an agent, but it's his personal property, he has an attorney that can do all the closing paperwork, and he'll pay closing cost. (reason: he wants to free up cash for a different deal)

The property is 100% in the ghetto, I know the area. Owner was renting for 375/mo. My partner and I want to try and get the property to meet section 8 standards, and rent on the govs dime. 

6,500 split down the middle works for me, I don't even know if I will haggle him down because I may call on this guy again as an investor.

Comps: there are 3 or 4 similar houses that recently sold for 30-35k, and there is 1 house in a little bit of a rougher condition that sold for 1k. So a cash in cash out deal may not be my best strategy. Thoughts?

Lastly, Myself and My partner are going to look at the property with the owner on Friday morning, if we like it we may shake his hand there and head to his attorney's office.

Alright BP, do what you do best! What am I missing here!?