Foreclosure: insight appreciated

[Kisaki Nicole Kaopua]

Hi everyone! Me and my husband found a foreclosure in our area for $269K. They accept financing so all cash is not necessary and we are asking them to paying for closing costs. The only recent comp is around $280K. The place we are looking at is in desperate need of new floors, carpet, paint, etc. all throughout the home. No apparent structural damage, but will be able to confirm after the inspection. However, this area is up and coming with lots of construction happening (commercial and residential). We currently own a home here and are up over $100K in equity over the course of 4 years and will cash flow around $600 for perspective. Is this foreclosure a deal? If so, what financing option would be best? We would plan to “live and flip” (live in it for 2 years to avoid capital gains) while we rent our current home.