Help with deal analysis

[Elijah Faas]

Hey all,

A deal has recently fell into my lap. It is a land contract for 180k with a 10 year balloon, 15k down, 4.75% interest. Its a 2 bed 1 bath in a area of town built around the 60's. P&I would be around $860, $200 for taxes, and $65 for insurance. Monthly cost of $1125. Rent would be around 1450-1500 for gross cashflow of around 350-375.

I am currently 20 years old and just purchased my first duplex in July so I am sort of tight on money. I like the deal however the house is priced high for the area. The highest comp I can find in the area is around 165k. Additionally, I could get half of the down payment financed by the seller at 6% for 6 months. (Just an option)

What is everyone's thoughts on the deal? I will need to borrow most of the down payment as I am tight on money but the house has a brand new bathroom and waterproofed basement. Am I just excited simply for the fact that it is a land contract and not bank financing? Any thoughts good or bad are welcomed.

Thank You!