2nd opinion on SFH for rental purposes

[Alonzo Ramirez]

I have this 3/2 "turn key" rental house in Odessa Tx tied up with seller but would like a 2nd opinion if I should move forward with it. Offer Price- $110,000 Appraised - $113,000 Tax Appraisal website - $90,544 Down Payment- $30,000 PITI = $700/month Property Manager is confident it can rent for $1300 (Confirmed it also on RentOMeter.com) Needs: - new roof - picket fence - could use a new coat of paint in the living room. The appraisal has me hesitant... Thoughts? And Thank you! -Alonzo [keyword trigger: Permian Basin west Texas Advice help oil field Odessa Midland 79762 asset investment real estate single family home SFH meat and potatoes]

[Greg H.]

@Alonzo Ramirez

Personally, I would never do a deal like this

-By the time you install the roof, take care of other repairs needed, pay your down payment and closing costs, your cash outlay is north of $40000 for a couple of hundred dollars in cash flow

- No equity in the deal.  By the time you do a roof in paint, you are more likely in a negative equity position

There are much better deals out there