Financing options for flip - owner carry?

[Steven Tankersley]

My partner and I are going to look at a flip opportunity tomorrow. The house is in a trust, and the family wants to sell (currently off market). The attorney indicated there are foundation issues which are preventing them from listing it yet.

Background - I am a general contractor and realtor. My partner is also a realtor. Between us we have 120k cash we are willing to invest. 

The ARV of the house is 590,000. Assuming 50k in repairs, I am inclined to offer 385-400k. Now, I need to figure out my financing options. Most private lenders I know are hesitant to lend >300k. The house is paid for, what do you guys think about approaching the owner to carry the note while we complete the construction? If this is a good option, what is the incentive for them? How is the best way to approach this?