Should I buy this bank owned home for 3000?

[Nandy B.]

An opportunity just came up for me to purchase 2 separate 2 bank owned properties in a rural area where I grew up (I moved after college and now live a big city).

♦️House 1 - 

About $3000 with double closing cost total purchase of 5500

894sqf -- 2 bed 1 ba on about 1-2 acres of land (will have to do a survey)

Will need about 20k worth of work

Can rent "if it does" for about 550-650

I would give out more comps buy it's a very small farmer town of about 1300 people so none really exist.

♦️House 2

About $10000 similar closing costs about 2000.

1168sqft -- 3 bed 1 ba on about 1/2 acre along with a large shed that could be a mother in law suite.

The house has been completed gutted and ready to build a new. Will need about 30k worth of work

Can rent for about 650-850.

They just build a new hospital in the area so this city has a little bit more potential.

OPPORTUNITY

I have primarily been a buy  and hold investor who s done cosmetic updates. In the past 2 years I have learned a lot about basic cosmetic repairs (I know how to do doors, floors, framing work, baseboards, trims, etc...). 

I see this as an affordable way to learn how to do more challenging renovations.

I would love to be able to invest in a flip here in Dallas but lack the confidence and experience. This could be an opportunity to develop both.

[John Teachout]

$150k is west coast prices. Around our area you could build from dirt a house that size for less.