Bought 1st Detroit property from Wholesaler

My blogs are from personal experience and just thinking back from a new perspective. My first investment property was a single family 900sq ft home in Detroit that I bought from a wholesaler who found the property from a friend who is a contractor. I bought the home for $10,000 and in the contract we included the contractor to finish the entire home. The contractor buys many homes through the Detroit auction which then he keeps the ones he really like and sell off the ones he does not as much. I was lucky to get this house because initially he wanted to keep the house but had to sell because he was not able to keep up with that many jobs at one time on renovations.

Here are some numbers

Single Family home (2 Bed, 1 Bath) 

Purchased: $10,000 (Cash)

Rent: $700

Homeowners Insurance: $100

Water: $40

Cash flow = $560 

Would you buy in Class D areas with good cash flow?