Is it ok to pay 90% if the numbers still work?

[Scott Robinson]

I know, the quick answer is probably "NO" but, what if the numbers still work? Here is a SFR I am looking at:

PP: $112k

ARV: $125k

Repairs: $5k

Conventional loan purchase with 20% down, wrap into owner finance at $130k, 20% down at 9.5% for 30 yrs.  Plan is to ask for a 1 month, $1000 option to find an end buyer.  Cash flow over $400/month...