Anyone familiar with 0% seller financing?

[Matt Frazier]

Hello,

This is my first deal.

I am in the process of negotiating a seller financed sale of a house that he inherited from his late mother, it needs work and he does not have to time to fix it up. The seller is more focused on the actual sale price of the property than the terms. He wanted a higher sale price with 0% financing, and the monthly numbers still work for me. I was advised today by a real estate attorney that the IRS will tax the seller / require him to charge a minimum amount of interest for financing. Does anyone have experience in this area? Is 0% financing possible if that is what the seller wants to do?

Any recommendations for real estate attorneys / title companies in the Minneapolis area that are familiar with seller financing.

Thank you!