Surveyor is right. From a cash flow perspective there are much better places to consider. But, for many of us, out-of-town is tough. Even if you have a property manager, and even if you get plenty of extra cash flow to compensate, it is very difficult to understand the subtle issues of various sub-markets of out of town investments. I would suggest areas that you are familiar and have someone you trust outside of your RE team (e.g. former home town, areas where relatives live and you visit occasionally, etc) if you are to consider this.
As for this particular property. You might get a second look at it this fall when it becomes a REO.
