Posted by Ed on November 28, 2000 at 14:28:46:
Sales price is public record. If you can’t afford more than $2K/mo to rent how are you going to pay if you have a vacancy. If the seller can’t find someone to rent for $3500/mo is he going to pay his mortgage and wait for you to find someone to rent at that price? How long will it take you to find a renter/buyer? Is there a market for rent-to-own in the $400K range in your area? If he paid $345K he will probably loose money by selling at $355K due to closing costs. Have you included closing costs in your calculations to sell?
To me the return looks marginal at best, not worth the risk. Move on.