buying my neighbors house

[Osvaldo Benavides]

My neighbor is selling his house for 70k the house will need 30k for rehab to rent it out i cant get a mortgage right now because im in a process on closing on a house this month my dad asked i could tap into to the equity (heloc) on his house to use to buy the neighbors house.. expected ARV 130,000 conservative.

bank will lend 60k i would have to bring 10k 

rate 4.2% for 10 years

monthly payment $700

property taxes $208 montly / $2500 yr 

insurance $85 montly (high end) 

rent income once it's rehab $1200 

variable exp $310 i could drop the exp since everythig will be new..

i will slightly be breaking even  

loan will be paid off in five years and i will have a mortgage free invesment property. 

should i commit or move on