Looking for help analyzing foreclosure

[Logan L.]

BP family, I am currently looking at a foreclosure located in a good area of a small town near several schools and businesses. It is a 3 bed 2 bath, 1,700 sqft. The price recently dropped from $63k to $49k. The only apparent necessary capital expense is redoing the roof. My realtor estimated that if I put $20k into it, it would sell for approximately $120k (current Zillow estimate of property value is 90k). I would likely have to take on a partner to afford the down payment (I have a partner lined up for this specific deal). The Zillow estimated rental income is around $800. Income minus $400 for expenses (50% rule) minus $378 (P&I, insurance and taxes) leaves a pitifully small $22 cash flow. This property is appealing to me because it is selling so far below market value but I'm concerned that if I was stuck with it for a while, I would only break even or possibly lose money on it. I would love to hear your thoughts on the situation, although I am struggling to even come up with the right questions to ask. Thanks so much for your help! Logan