Hard Money on a Small University Town Rental

[Michael Miller]

I just came upon a small, but conveniently located (5-minutes walk to a uni campus with a 25,000 student body and 10-minute walk to a fairly lively downtown, 80k population Michigan city), 3 bedroom home which had solid rental history until the house was condemned.

It was condemned due to being at the bottom of a hill, where the retaining wall gave way.  While the retaining wall isn't hindering the home now, it could, so the city condemned the house until it is fixed; at least, this is the story from the agent.

Comps in the area price this home at 35-60k. However, it is going for $15,600 on the MLS, and I have two price quotes for the retaining wall repair averaging 5k, bringing the final cost with closing costs at around 23k. Rent is likely 800 every month once ready.

Do ya'll consider this a good fit for hard money lending?  Any other thoughts?

I appreciate your time.

-mc