SFH Can I do anything with this lead

[Spencer I.]

The property is in a highly desirable part of town and I want to know if this can be a lease option, sub 2, or owner finance deal or not. All numbers are factual and from mls comps in the area. The property is in pretty good condition, but the sellers owe about what it's worth, it needs about $3-$5k in repairs one of the bathrooms need work, and they are behind $2,500. Is there a deal to be had here? All opinions are welcome.

3bed 2bath 2car
[b]ARV $115k-$120k
[/b]Rental Comps - $1100-$1400/month
[b]Repairs $3k - $5k
[/b]Mortage Balance approx $110k-$115k
[b]Interest Rate 3% fixed 30 year loan from 2009
[b]Monthly payment (w/taxes& ins.) $1,221
[/b]Behind $2,500