[Pensacola, FL] My brother is getting into his first house purchase and I think he’s buying a lemon. What can I do to help him through this by either exiting the deal or negotiating with the sellers to neutralize the liabilities with the house?

My brother is a newly minted navy officer, has access to a VA loan, and is really excited about buying his first home at 23 years of age. He's about to get orders to leave the area he's buying the house in, and thinks despite the issues shown in the inspection, that's it's OK cuz it's "not his money" he's investing (it's the bank's!) and because the cashflow is what matters. He plans on being an absentee landlord and rent the house out to fellow navy officers.

Brick rancher in Pensacola, FL. Under contract. House tax assessed at $87k, sellers purchased property two years ago for $79k, now under contract for $137k. Sellers say they have renovated, just not seeing justification for $58k in appreciation. Inspection shows new roof needed, and A/C unit is nearing the end of it's life. The roofing company says they won't put on a new roof because of the trees hanging over the house, and remember, this is florida so hurricanes and roof damage from trees galore.

The renovations are nothing to write home about: the kitchen cabinets were not replaced, just refinished. The caulking in the bathroom is coming apart: a sign of improper installation.

I'm seeing very little upside to this deal, and a lot of downside risk, especially since he's buying high, and there's no room to absorb the risk with the property and still not lose money. The appraisal came in at $137k, the contract price, but I'm just seeing all sorts of liabilities with this property, and can see my brother sinking a lot of money into this property to keep it in good working order… especially as an absentee landlord.

agents and builders of reddit, especially in the florida area, what are the strongest reasons to convey to my young brother NOT to buy this property?

Inspection:

http://imgur.com/a/CGUmJ

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