Seller Finance- how can I make this deal work?

[Justin Campbell]

Hey BP community,

I have a motivated seller that has four unity’s he’d like to sell using owner financing. He hasn’t requested a sales price, but is thinking along the lines of the 1% rule. Gross rents are $2630. The units are one two lots:

Lot 1: 3/2 double wide with shed. Decent shape, no major repairs. In tue back, 2/1 SFH also in decent shape. Needs new windows but no major fixes. Owner pays water and trash.

Lot 2: Up/down unit with an odd 1/1 downstairs and nice 2/1 upstairs. Includes nice 3-car garage. Nice lot. No major repairs. Owner pays all utilities. 

If I buy all the units for $180k with down payment of $20k @ 2% (which would be really favorable terms for me) I still only net $450 cash on cash. Included in my expenses I added 7% for cap x, 7% for maintenance and 2% for vacancy (really low in my area). 

Any thoughts? I’m shooting for $200 p/unit. 

Thanks!