I have a deal that is a Free and Clear house in a great school district in a suburb of Atlanta. The owner is a general contractor and builder. He has numerous houses and land so he is not hurting for money. He is not what we consider a motivated seller but he does want to sell. But here is the twist. He bought the house for his sister that never moved into it. The schools are ranked 9-7-7 and is only 6 years old and out of 10 houses on this short street his house and one other are the only ones that have not been totally renovated. The other eight range from $380k -$600k. He wants $180k for this house. He said that I can build 25 ft to one side and up to bring the house to a the Now normal standard of the other houses on the street. His house has 1 acre of land with it and is hidden off a main highway. I have a private investor that I am pretty sure will fund me for the deal.  The owner says if he does the construction it would be another $200k for an all in of $380k Plus whatever arrangement I make with my Private money guy. My private money guy has a renovation team that he can provide as well but the owner has connections in the county so any permits will not be a problem.  
I think I can get the renovations I want done cheaper if I go with my Private money guys people but the owners connections in the county could make it a lot easier with less hassle. So is it worth paying more to relieve red tape? I would gladly appreciate your thoughts. How would you guys approach this?