@Angel PerezSounds like you are dealing with a C5 property. 

She prefers they sell the house right now, as is, and live off their profit.

Any time you are not living in the property it is more risky for the lender.

Older homes that aren’t elevated could suffer major damage when the next storm hits.Many expect market saturation in the coming months, as flippers are snapping up flood-damaged properties.

The latest red flag is his belief he purchased a "fully renovated" property in Philadelphia for $115K.

Take them to tour the property with you. 

The local property will give you practical management experience.You might do better buying a REIT if you are planning to buy single properties far from home.

Message me if you'd like us to analyze a property for free.

Part of the equation is how much equity can be drawn from your property as well, this would also be a question for your lender.4.

One thing that I would add is your plan to refinance the property once the sellers note matures and that's when you'd pay them the rest of the purchase price through a cash out of the higher valued property.