Seller-Financing / BRRRR Hybrid ~ Can I Do This?

[John Winters]

Greetings BP's Community!

I don't know how "innovative" this is or isn't, but I'm still working at my first property.  I have a property in need of renovation.  The seller is agreeable to do some form of seller-financing with me, and I'm agreeing to pay $105,000 for the property and flexible agreement.  I plan to do much of the work myself.  It's currently structured as a single-family, and I'll convert it to a duplex or triplex...renting out each unit as it is ready, and likely move into one too.  That's just some context.  I'm open to input/tips regarding any of this, but here is my main question right now:  

CAN I DO THIS plan outlined below if the owner agrees, AND/OR is there a more financially-sensible approach?  

Step One: I pay seller an agreed upon down payment (or do no-money down, if agreeable).

Step Two:  Record the promissory note that details arrangement for this seller-assist sale/purchase.  Property title is transferred to me.

Step Three:  Monthly payments are agreed to be delayed for 6-8 months while I bring the property back to Life (rehab).  I rent out a unit or two as they are ready, still with plans to move into the final unit once completed.

Step Four: Once the property is restored, I take out a HELOC/equity loan to pay the seller the remaining due (likely ~$100,000).

Step Five: Property is renting, seller is paid, and rental income pays back the HELOC/equity loan + cash flow.

This seems to be a twist on BRRRR that includes seller-financing to get started and a HELOC/equity loan used to pay the seller (balloon payment) instead of a mortgage.

Am I missing anything? 

Thanks for any and all constructive feedback!