How to finance difficult situation

[Sorin T]

OK folks, I need some creative suggestions here.
Scenario: I found this house I want to purchase as O/O. House is REO in need of repairs: needs carpet, appliances, some plumbing and electrical work, some exterior touch ups. Conservative estimates 50K repairs, ARV 600K, house is listed for 400K.

Now, I have the finances available to put 20% down for a conventional loan and to complete the repairs, and I am well qualified for a conventional loan. Yet the listing agent insists that property is not suitable for ANY kind of financing (conventional or 203K) because of its condition and they would strongly advise the seller to reject any offer other than cash. However, I am confident I can make this deal work with conventional financing and the reserves I have to fix the place, in order to move into it but how can I convince the seller, or more important, how can I overcome the seller agent's resistance to accept my offer? My agent believes they're trying to delay any other offers in order to try to push through offers coming from their own agents, but nowadays people able to come up with 400K cash offers are few and far between. So, what can I do on my end to push this through? Any other suggestions? Thanks for reading