Does owner financing make sense here?

[Christian Anzuini]

Hello all-

As someone who has been researching real estate and deal finding techniques for several months now I feel as if a potential deal may have fallen into my lap, but I'm not entirely sure what the best way to structure this would be. I have a coworker who has become unhappy with his position within our company and is moving his family back to his home state across the country for a new job. He was complaining to me about having to deal with agents and their commission, showing the home with his new born baby around, and taking time to fix it up before the sale. 

My best estimates are that they owe about $110,000 on the mortgage and the ARV of the property is about $200k-205k. It will probably need about $10k of rehab/repair and could rent for $1350/mn. I've read that owner financing could be dangerous when the owner still has a mortgage but am unsure of a different way to structure this without getting bank financing involved.

Any input would be much appreciated! Thanks.