Possible sub2. Care to share insight on possible creative financing?

[Taylor Shapiro]

The other day I was driving through a my parent's neighborhood and found a vacant property I hadn't noticed before. I knocked on the neighbor's door and asked if they could tell me anything about the property.

The neighbor said the house was, indeed, vacant. The owner(s) inherited the property from their mother who passed away a year ago. She wasn't sure if it had made it through probate yet, although it sounds like she has a close relationship with one of the owners and has gathered pieces of the story.

She went on to tell me that the owner is "completely overwhelmed" with the house. He's put in a new well pump, a new roof and generator. I offered her to leave my name and number along with a brief description about how I could purchase the property from him for cash at whatever time is convenient for him/them.

I got to thinking about possible owner finance options while my main goal for this property is to rehab and sell retail. It's a great neighborhood and looks to be a mid-size project although it's difficult to say, I haven't seen the interior.

If and when the owners call, and for my own knowledge and anyone else who's interested, I was wondering how I could/would lock the property up under contract, negotiate a small down payment ($5-$10K) to show that I'm serious, either take over mortgage payments if there is one, or roll all payments into a lump sum that I pay the owners when I finally fix up and sell the house.

Is this the same as a sub2?

How would I structure this if I ended up negotiating a final payout once i actually sell the house, without necessarily covering mortgage payments along the way?