Been awhile - 2nd REO what do you think?

[Kel S]

2/1 bath on crawl. Little under 900 sq ft. Very nice area with great schools and other nice smaller homes. Bank is listing it for 39k and we'd offer 31k. The only rehab we can see that it will need that is more than minor is the kitchen was gutted. Meaning it has no cabinets, counters, sink, fridge, stove, or dishwasher. All the plumbing is there and good shape. Also they took all the ceiling light fictures. The carpets are in good shape and just need cleaning. Walls in good shape though we will probably repaint. A/C unit is there, newer hotwater heater and furnace doesn't look ancient. Has a utility room with W/D hookups. Electrical looks updated. Windows look newer. Roof in good shape. Overall it's a really nice little home. It also has a 1 car garage detached.

Homes in this area of town and this size look to be selling for around $60-$70k. Our plan would be to probably put in another $6-8k for the kitchen and other minor things and rent it for $575-$650/month.

Does that sound like a decent deal? I don't think it's a great deal or a steal. But I do think in 10+ years when it's paid off we would be look at retirement income from it as a rental.