Selling a home via seller financing - Risk question

[Ward Dey]

I just purchased a house subject to the existing mortgage. I am rehabbing and flipping it. I have two options for selling. The first is a traditional sale that cashes me out.

My long term strategy is to build cash flows. So the second option is to do a wrap mortgage for a new buyer to convert this property into a cash flow source.

I've started advertising the home as having seller financing available. I realize that most of those buyers will have credit challenges and I can work with that. One of the folks that has shown interest has had tax issues (didn't file for many years) and the IRS caught up with them. They have garnished wages, etc. I'm unfamiliar with the risks in this situation. Their income is sufficient to purchase the property (they make over $6k/mo)(the monthly PITI for them will be $1,560)

Can anyone more familiar with this tell me whether there is more risk selling to that buyer than to any other credit challenged buyer? Are there special steps I need to take because this is a tax issue rather than a prior foreclosure or other credit problem? Thanks.