Bursting pipes could be a tell-tail sign of other issues and shouldn't be handled lightly in my opinion.Ok..back to the Numbers of this Deal.ARV: $90,000Proposed Market Rent: $775/mth (Also using a Vacancy Rate of 8% to derive EGI)EGI: ~$713/mthP.P. $49,000 financed at your rate and amort of 5%/30 (I'm pretty sure this rate is a little off unless you are putting down at least 20%..but let's run with it)Mortgage: $263/mthTaxes: Estimated at $94/mth (1.25%)Insurance: Estimated at $55/mth (in OH if that's where this deal is of course)Management: 8-10% EGI ~$71/mth (even if Self-Managed should still factor in)Maintenance/Reserve Account (1% Value) ~$75/mthEstimated NOI (Assuming Tenant pays all utilities): ~$418/mth - PP=10.24CAP@$49k or 7.17CAP@$70kEstimated CashFlow: $155/mth (DSCR ~1.59 which is good IF your Loan Assumption is accurate)IF you can get this property, with a clean bill of health, for $49,000 and IF the property valuates at $90,000 and IF you can secure a loan for the $49k at 5% Interest with a 30yr Amortization with only the information you provided and general assumptions, it looks like a potential deal as far as numbers are concerned. 

“Drug-related illegal activity” means the illegal manufacture, sale, distribution, purchase, USE, or possession with intent to manufacture, sell distribute, or USE of a controlled substance (as defined in Section 102 or the Controlled Substance Act (21 U.S.C. 8002) or possession of drug paraphernalia.2.Resident, any member of the resident’s household or guest or other person under the resident’s control shall not engage in any act intended to facilitate illegal activity, including drug-related illegal activity, on or near the said premises.3.Resident or members of the household will not permit the dwelling to be used for, or to facilitate illegal activity, including drug-related illegal activity, regardless of whether the individual engaging in such activity is a member of the household.4.Resident or members of the household will not engage in the manufacture, sale or distribution of illegal drugs at any locations, whether on or near the dwelling unit premises, or otherwise.5.Resident, any members of the resident’s household, or a guest or other person under the resident’s control shall not engage in acts of violence, or threats of violence, including but not limited to the unlawful discharge of firearms, prostitution, criminal street gang activity, intimidation, or any other breach of the housing agreement that the other wise jeopardizes the health safety or welfare of the landlord, his agents, or tenants.6.VIOLATION OF THE ABOVE PROVISIONS SHALL BE A MATERIAL VIOLATION OF THE HOUSING AGREEMENT AND GOOD CAUSE FOR TEMINATION OF TENANCY.

Matt, they did open on June 22, 2005, but the Atlanta real estate market was doing just fine at that time, the crash in Atlanta came in the wake of the mortgage backed derivatives meltdown that started with Lehman Brothers, Bear Stearns, WaMu and AIG mess.  

You have to take distributions at age 70 1/2.  

To correctly evaluate such an option, one would need to know your tax rate, expected expense ratio on the property, goals for income usage personally either after-tax or when and how you plan to take retirement plan distributions, etc.I can state that since you are looking to pay all cash, there is effectively no difference between the IRA and 401k options.  

The earnings (or returns) come to you as dividends and are distributed quarterly (in the U.S.)

This is a great asset because any profits are tax free and distributions are not penalized or taxed. 

Do you mean they wouldn't distribute the funds?

Since we own an LLC, the court would ask that all DISTRIBUTIONS, to YOU, be sent to the Person who won the case.

Cash distributions to investors during acquisition, operation and disposition of the property, including the proposed timing and anticipated percentage returns.4.