Buying a foreclosure out of state.

[Jamison Haussman]

Hi good morning everyone,

I just put an offer in on a 3/2 SF near a military base in the midwest. It's a VA foreclosure and needs about $12k in rehab work.

Everything was accepted, contract signed, but when it went to the lender deals changed due to miscommunication.

Originally we had worked out rolling rehab into the loan ($42k purchase + $12k rehab = ~$54k), which I would put ~$10k down on, leaving me with a $44k loan.

Now they're saying they can't finance the rehab into the loan as I'm not occupying, and I'll need a bit more for the down (25%), so I'd conservatively be into it for ~$22k = $66k with the mortgage. The ARV is nearly $90k, but I'm factoring conservatively at around $80k.

Numbers I ran had me cash flowing at around $140, and I'd like to refi and get some of the equity back out for the next place at some point down the road. 

Typing it out has it not looking as great as it did in my mind, but any advice from the community is always appreciated. Am I just getting too attached to this place? Move on and find the next one?