Excited one minute. Worried the next. Cold feet?

[Toby Rachel]

SF 3/2 1,529 sq ft with a 650 sq ft guest house (1/1 w/ kitchen) on a 9,829 sq ft lot. Walking distance from Old Town Scottsdale. List price - $295 Total 100k gut job for both the main home, guest house, and the yard (100k is on the high side). Comps in the area are Mid to high $300s. We believe we can purchase the property for $270 and are considering making an offer.

We are newbie investors, this would be deal #1. We have been looking for a SF with a guest house for months and this is the first and only that has come our way. The location is perfect, The guest house is a great location for short term vacay in the area. The neighborhood is great for us as a family. The area is expected to appreciate in the next few years. We've run the numbers and we would be cutting it close if we decide to refi in a year/year and a half and use that money for another property. We don't want this property to hurt our ability to scale and continue investing.

As newbies should we stay away from rehabs this size with little room for error?