Please, I need your thoughts and advice on this property

[Linda S.]

I am a single mom with 2 part-time young kids. I work in Tech. Currently, we are in a cozy 1br apartment. Rent is 1,350/m or $16.200/yr. We are at the end of our contract, so I am looking for a place for us. I'd like a place where I can put in some upgrades (do some of the work myself) and opportunity for appreciation.

I see this place as having some potentials. (I need to stay around RWC as kids go to school here.)

30 Columbia Ave, Redwood city, ca $550,000, 2Beds, 1Baths, 890 Sq. Ft., $618 / Sq. Ft. Built: 1924 Lot Size: 6,000 Sq. Ft. On Redfin: 1 day Status:Active

I went by to check it out tonight. Exterior needs some upgrade as I see it. I think it's the same for the interior. 80% of houses on the strip are in good shape. It appears to be a good neighborhood. The converted garage is separate, looks to be ~400ft. I read up that the conversion to one's garage does not need permit as long as it's internal, and no expansion. How do I check this?

** If I put in 20% down, borrow $440k (if possible), or 30% down, borrow $385k, the cost of living is ~ 20k. And I believe the converted garage can be rented for at least $700/m * 12 = $8400,so that would bring it right back to ~16-17k (same as my rent). But this would allow me to put in some upgrades and flip in a year or two if the # works out and take on another project or hold for potential appreciation.

Please see my calculation below and let me know pros/cons, what I am missing, ...Should I go for this or something like it?

** I am very handy, don't mind doing hard work and can fix lots of things myself.

Interest $15,265.40

Property Tax $5,700.00

Insurance $1,000.00

Maintenance $500.00

Water, trash, elec $2,100.00

Cost to live (Interest+ Ins+Tax) $23,465.40

Cost to live (after deduction) $20,000.00

** Appreciate everyone who responds.