Contract for deed options

[Jason Lee]

Sold a property using contract for deed on a 10yr note at 9% apr. 

Property has been seasoned for one year, and now looking to sell the contract. 

I have been offered a couple of options.  

1.) Partial buyout 5 years of payments then I would resume payments.

Seems risky as many things could happen here like death of note buyer, insurance claim, default.  

Has anyone done this?

2.) Full buyout of note.  Preferred option however;

The other problem I have is the appraisal vale of property.  

Sold property for about 175% of appraised value.  Everything goes fine until the note buyer sees that i want 100% of the appraised value for the contract.  This is when they  back out.  Has happened twice now.  However one buyer is firm on the partial buyout which is why I ask about it.

With the partial buyout plus the homebuyers down payment and one year of payments made I will have fully recaptured my investment in the property.  When I resume payments after 5 yrs the last 4 years would be profit.

Anyways has anyone done a partial buyout on contract for deed?