Deal Structure: work around 2nd

[John Knight]

I am trying to purchase a 49 unit Rental Portfolio for $1.4M, 20%+ Cap rate. Rent Roll $32,800.

Minimum Values:   Insurance-$2,303,000   Zestimate-$2,457,867  Last Appraisal (per Seller)-$3,014,250 

I have an Equity Lender financing approximately 50% and Seller willing to carry 2nd for the other 50%. 

Seller's concern is what happens to him if something happens... Is there way to structure this to satisfy all parties? Any ideas? Any Lenders/Investors want to do a 12 month Interest Only? Workarounds? Partnerships? TIA