Market rent for this one is between $1200 and $1300 but I have excellent tenants and don't want to raise rents just yet. 

Raise the rent a significant amount.

Here's the interesting part:They're only asking $9k because the house needs to be raised prior to repairs because of flood zone.I know raising a house is expensive and would take a huge chunk of repair budget, but with asking price that low, should I try to get this as my first BRRRR?

My plan was to start with wholesaling to raise some capital for buying and holding multi family.

Hi John, I was born and raised in Vegas and am currently looking for similar properties to buy and hold.

I doubt if I could even raise rents to recover my 12K.

While figuring out how to accomplish the renovations we long term wanted we encountered asbestos insulation in the attic that was hidden by the previous home owners( 2 bedrooms were completely renovation and ceilings raised, the master bedroom was still original).

Or raising the rent to your current tenant when it comes time to renew (because their sq ft has just increased) and just releasing the property as a whole to them as a tenant.I think it could be pretty difficult to find a renter for your garage house.

If you want to run your own deals, you might consider finding a boots-on-the-ground partner with a good reputation and pool capital with them to fund their deals.Dan Handford raises capital for his own deals, and @Paul Moore is more like a fund-of-funds that raises capital from passive investors to deploy with sponsors.

You can raise the value of the home if it's doable and pay the closing costs but if it's short and you are using the same % on closing costs the lesser appraised value will eat away from your original 84.8K value.