Help me analyze this deal!

[Sam Ohanesian]

So I've had my eye on a detached triplex. It is being sold by owner. He has been trying to sell it for over a year now! He is very unwilling to negotiate on his price, he wants 317k for it. It is located in a very good area here in Tucson close to the U of A. 

In order to cover the downpayment of 85,590 i plan to use a heloc @ 6% intrest. The mortgage with the 25% down is going to be somewhere in the ballpark of 1550. With a heloc payment calculator I'm guessing my payments will be around 540. So my cost to own the property each month will be $2090.

The property is composed of 3 seperate structures. A 2/2, 1/1, and 1/1. Im thinking, conservatively, I could get 1200, 850 and 700 for rent, coming out to 2750 per month. Again, those numbers are very conservative and I think i could get much more. 

figuring out the cash on cash return was a little difficult due to the heloc, the place does need some money put into it, and the uncertainty of how much rent I could get. But I came up with it falling in the 9-11% range. 

the market here is extremely competitive and there isn't much worth considering out there right now. My concerns for this place is having to use a heloc just to cover the downpayment. My entire heloc will be tied up in this place so I probably wont be able to do anymore deals anytime soon. 

Really going back and forth over this one. If anyone with some good experience could message me and help me out I can share more specific details on the deal. 

Appreciate it! 

Sam