Help Evaluating Deal - What to propose?

[Joe Campbell]

Hello BP!  I came across a possible deal I'm trying to work a proposal for the current homeowner and I need help presenting a win-win deal.

The owner is selling because his mother in-law lived in the home and has passed. They purchased in 1999 for 75k and have a mortgage balance of 50k. The current owner was thinking of putting in about 10k and trying to sell for 115k which is FMV based on comps of recent sales.

He is willing to do seller finance and sell directly to me without going through a realtor but I don't know the best way to structure an offer.  My ultimate goal is to buy it and rent it out, should fetch $950/month.

My question to the board is what type of offer is the best to present to him with seller financing.  I have about 20k cash I could put down.