Downsize Rental Fix-up

[Tanielle Price]

My spouse and I are downsizing, and we are looking at a property that will need significant remodeling. 

Asking price: $100,000

ARV: 140,000

Remodel: $50,000

Our offer: $75,000

Current area rental rate: $1200

They are asking for the best and final.  Our plan is to remodel it, live in it for 2-4 years while my step-daughter finishes high school, then we'll build a house and keep it as a rental.  

I'm a new investor, and I'm a little stumped as to how to analyze this deal. I don't believe it will be a BRRRR. Should I take into account the loan paydown from us living in the property? Do I still use the 1-2% rule based on current rents (I'm sure they will have changed by then)? The neighborhood is stable.

My goal isn't to make money now, it's to spend less on housing and keep a house big enough that we aren't all over each other with 6 people, that's why we are interested in this home. 

Thanks in advance,

Newbie Tanielle