What is the cost of nothing down....?

[Edward Smith]

Hello BP....Quick question. I had a seller reach out to me because he was having a hard time selling his home. The hard time being he didn't want to pay any realtor fees. So he reached out to me and told me the story. Moving out of state and doesn't want to be a landlord anymore. Currently rents to his Mother-in-law. So we talked and I made him an offer...

My offer was 42k(his sale price) for a 5yr land contract and a balloon for the remaining balance in month 60(3k) 

He said he needed $650 a month and before his mother moved in rent was $750.

He countered with 48k and a balloon of 9k at month 60 (comps in area 50-60k)

The property is in good condition (2bed 1bath attached garage)

My exits would be sell in year 4 and cash every one out

Small refi in year 3-4

Pay the 9k and keep as a rental.

Keep in mind there is no money of mine in this deal other that closing cost with my Attorney.

If his bank calls the mortgage Due I'll sell or refi myself

So is the extra 6k he is asking for worth it? I'm thinking this is great deal especially with no money down. And I'm not risking my own credit and there is a small cash flow.