Whats wrong with this deal? Wilmington, NC area

[John Albertson]

I found a deal that I was excited about but there have been a lot of red flags. I'm looking for a local more experienced investor to look over the deal and give me feed back. If it turns out to be a great deal than I would be ok with the investor taking the deal if I can tag along for the knowledge. I would also be interested in possibly partnering.

The pro's of the deal:

1. A growing location, a developer just broke ground on a large commercial and condo project (Described as a mini Mayfair), directly behind the house. The developer bought out several other houses and stopped at this one.

2. The house is zoned commercial.

3. Price.. I think I can get it for around $85k, that is also about what the land is valued at. The developer will need the property to expand.

4. House needs some work but could rent for $850 as is.

Red Flags:

1. Why is the house still available? It is not listed on the MLS but there are enough smart investors around I would think someone would of jumped on this deal.

2. I think the seller is also a real estate agent, she didn't disclose that which leads me to believe she is hiding something.

3. House would probably have to be purchased with cash.

I look forward to talking with and possibly meeting with some local investors and discussing this deal. I search for deals daily and am currently in the process of obtaining by license. I would like to establish a solid local network

John