[john70t]

I see red flags.
-The seller built it and is selling it pronto. Why? Is the seller a flipper or over his head or some other reason?

-There is little other buyer interest in the property. Why? If it was such a good deal then the friend of a Realtor would have swooped in already. Sorry to the pelicans in the profession but Realtors lie to make the sale happen and get their money. "Other offers" happen all the time especially with used cars and auctions. BTDT. Even with 'buyers-agents' who is supposed to be your employee. What do they know that you do not?

-It is a huge investment and while versatile you will have to go out on a limb and juggle finances and your other personal property. How much are you prepared to lose? The bank appraisal might not see it as a worthwhile investment. Could you really go at it alone if necessary on a 2% Cap Rate provided nothing else happens? Will it still be desirable in 30 years when your fixed mortgage is paid off. You should be able to swing a 15 fixed. Have you done full research on the comps in the area and where the town is going? What businesses and attractions will prop up the local economy in the case of recession?

-The internet buzzing is that there will be another national RE slowdown or crash. That stays in the back of my mind. California business and middle class appears to be leaving in droves and they just sunk 3.2 billion into the train to nowhere while already in heavy debt. CA real estate tends to waver in huge swings. First to rise and first to fall. Buy low. Sell high.

-It's probably a beautiful property and you have fallen in love with it. That does not matter when the numbers don't work out and the bank repossesses it. Don't be that guy to join millions of others. Get a price point that works for you and start from there.