Have motivated seller who wants to work with me but no cash left

[Sean Haardt]

Thanks to BP i have my first duplex. I've listened to every podcast. "Read" about a dozen audio books recommended on here, many of them twice. Thanks BP community:

Earlier this year I found a 7 unit converted house, submetered gas and water, fully rented, stable market just received marijuana plant with 130 jobs, and have a 72-year-old motivated seller who is unloading some of his properties as his children don't want them. He does not need the money quickly and is offering seller financing, 10% down. He even supplied me with a copy of the appraisal and his expenses from last year. The NOI is $21,500 and expenses are $15,000 with a projected gross income of 40K. My cash is tied up for next few months, and house needs a lot of repairs as well. House appraised for $240K but I know he will sell it for less. I have met with him several times. If I had more experience, I'd probably know what to do, but is there a way to give him and incentive instead of the 10K down if he is willing to do a lease option or something like that? Needs a new roof, possible foundation issues, and each unit needs some TLC, which is why I want a lease option in case I find the foundation is too much to handle or something. Good news is I have the best contractors. I don't want to get in over my head though. I was hoping to refi in a few years and get cash back out at the new value after rents are increased. Rents are .very low right now and tenants are on week to week. Has a lot of potential, but also could be a money pit. Any advice on if a lease option is the way to go or should I walk away. Thank you BP.