Do people only use seller financing when it’s a buyer’s market?

[Mike Schorah]

I’d like to approach landlords to see if they want to sell me their property in exchange for a $10000 down payment, $5000 of which is used for closing costs, and $5000 of which is paid for with seller credits. This would also include an amortized loan from the seller with 4% interest and a balloon payment after 5 years which I can refinance out of into a conventional mortgage. I'd like to do this refinance much sooner, possibly after 1-2 years.

My issue is that I don’t want to overpay for the property, putting me into negative cash flow territory.

Is seller financing nearly impossible in a seller’s market?