Help me figure out my first deal?

[Hunter Gillon]

I am currently trying to do my first deal. I have found a property for auction in Colorado that I am interested in working as an investment. I believe I will be able to win the auction for between $60k - $75k. After evaluating the area and the property I believe the ARV to be in the $175k-$210k range. The main issues I see with trying to work the deal are:

1) Raising Capital -- My potential business partner and I do not have the capital to buy the property outright with cash. We are considering either bringing in additional partners/investors or financing through a bank. The way we see it we carry a higher possible profit margin if we finance through a bank but also carry more risk. If we bring in additional investors we should be able to share the risk but would be sacrificing potential profit. Anything I'm missing?

2) The property is in a rural part of Colorado in the foothills of the Rockies. It seems most the properties in the area or either vacation cabins or retirement homes going for anywhere from $250k-350k. The property in looking to purchase is government owned and was utilized by the USDA's rural development program. I don't know what the necessary market would be for this type of property in the area, however it sits on 5 acres so it is about the same size as the larger tracts of land in the area. Does anyone have any wisdom they can share about investing in a similar situation?

3) Finally, I can't tell if this is too large of a project for a first time investor. The math seems to work out well and it seems like I may be missing something. Any overall advise would be greatly appreciated!

Thanks for the help!