Originally posted by @Dillon Harris:@Kevin Romines $500 is just what the bank told me over the phone if it means anything I live in Southern Illinois and the market is a little cheaper here typically  The reality is that it's unknown and unknowable what the appraisal fee will be until an appraiser accepts the order. $500 is probably the SFR owner occupant norm in your area. 

Here are the unknowns:  I am guessing the rents will come in at $1,000-$1,100, and maybe an ARV of $100,000-$115,000.  

I am really just trying to see if others think the remaining $455/mo. is enough for these costs that are unknown to me. 

With more experience you'll get better at estimating rehab costs but always remember to add a buffer for those unknown issues that always seem to pop up after purchase.  

Will you be able to pay both loans for an unknown amount of time until you are able to figure out some other form of financing? 

The reason you're likely getting a deal is because, as others have said, you're buying unknowns. 

considered it but it seems there are so many unknowns that it makes me extra nervous compared to having an agent help me find reo property. any advice or experiences would be appreciated.thanks all!

(a few unknowns here). 

Planning for the worst and hoping for the best is always a good way to proceed with unknowns.

The game is to factor in the unknowns in your bid price.