Inheriting a house, any way to make this work?

[Amie D.]

My father passed away last October. He left his house to me, my brother and sister, equally. We decided to put it on the market, since co-renting it would be a hassle.

I've considered buying out my brother and sister's share and renting it, but dismissed the idea as I didn't think I could make the numbers work though without having to totally lowball them. The house is in decent condition in a low to middle income neighborhood. When I spoke with some property managers, they said it would rent for around $650-750/month.

It is on the market though for $65,000 and the agents we interviewed all said they thought it would sell for arounf $59-64K.

I've essentially got 33% "down" in it already because that's my inheritance. That being said, I'd probably have to do a cash deal now as I don't think i'd qualify for a mortgage now as I'm not employed (on purpose, financially I'm fine as I saved money so I could spend the last year with my Dad, who had cancer, and then I relocated). I own two rentals, but one I've just started renting and don't have a lease to show yet.

I'm fine with doing the cash deal if it makes sense, but here I don't know it would. I'm used to buying short sales, fixers or foreclosures, fixing them and then selling or renting. I think my brother and sister would take lower than market since we wouldn't really pay closing costs, etc and it would help to end probate, which we are waiting on.

The other option is to wait until it sells and invest in a different house, but the house is in Indiana, and right now I'm in Seattle and for 50-60K I'd probably be able to buy a hole in the ground!