Giving the seller some options???

[Mike Landry]

I have a slightly motivated seller and i want to give him multiple options for my offer. How do you guys value owner financing and terms in an offer. Here are my approximate numbers.

Class c+/b- in conroe / houston texas

He owns FREE AND CLEAR

Arv 105,000

He casually WANTS 70 to 80k

Lets just say repairs are 10k

So a by the book offer of 70% arv less rehab would be 63,500

What kind of offer would you give if they where willing to owner finance? What additional costs are involved with buying with owner financing in texas? How would an experienced investor structure an owner finance deal here? 

My thoughts on offers 

Offer 70k, 10k down, 60k interest only for up to 2 years, refinance exit strategy

Offer 70k, 5k down, 65k 15 year note @ 3.5%,  could keep note or refinance or sell to another on better owner financing terms?

Any other options you pros would pursue?  I feel there is a deal to be had here. 

Thanks

If any experienced locals are interested in exploring this as a partnership let me know.