Help me analyze this deal!

[Zebuel Early]

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Hey everyone! I'm a new investor looking to make my first deal. I won a bid and am getting an inspection tomorrow.

I own a home in California but have a brother in Arkansas who is able to manage properties for me in a growing college town. A house recently came on market in an area that is blowing up and increasing in value quickly. The house is 95 years old but was recently rehabbed with new appliances and carpet, granite countertops and all. After analyzing the deal, assuming I get $1000 a month for rent, and after putting down 25% on the $160,000 property, it looks like my cash on cash ROI will only be around 2.5% and cash flow is only $93 a month.

The benefits would be appreciation, tax depreciation wright offs, 1.5 acres of land with an easement for a possible future unit addition, family in the area to manage, no rehab necessary, low cost compared to my local market. 

I'm also leary about getting into the landlord biz right now given the current state of affairs and part of me thinks holding out in case of a possible recession could be wise. There may be tons of foreclosures in the near future.

Question: Should I take the risk and buy or hold off for a better property that generates more cash flow?

Thanks!