Would like to know what would be the correct way to analyaze this property.

[Oscar Romero]

Hi a few questions from this new guy, just going to bullet them.

INFO

My mother and sister would be renting the house out so no worries on finding tenants.

The property I am looking at is going for $170K and is asking a 3% down.

The house is a contract for deed. 

1. Does this mean I am purchasing the house from the middle man?

2. Is it legal for me to rent this property?

3. Is it a sound investment? I am just starting out, and would like to do it right.

Any thing you guys can give me would be appreciated.