I need guidance BRRR or flip

[Yuriy Grytsulyak]

My partner and I have been looking for our first deal, here's what we are putting offer on today:

Twin, 3bed 1 bath, 1100sq ft, asking 85k, rehab 40-50, ARV 180-200, potential rent 1300-1400.

The plan is to buy the house using cash, then take HELOC for either this property or our own houses and use HELOC money for rehab. (is this a good idea?)

So here comes the tricky part, in the best case scenario we should be able to get all of our money back and have a small cash flow from BRRR, but stars must align for it, max rent, min rehab, max ARV... On the other hand, even with average numbers flip should produce at at least 20k+ in profit.

Ideally, we would like to keep properties and generate passive income, but with this one it doesn't seem to be the best option. 

What would more experienced investors do in this case?