Seller should record their lien against the property, you both should have an attorney review to make sure all interests are property documented and protected, and i think everyone is in a good place. as far as evicting tenants... this is up to what you and the seller can negotiate. i would still be putting on the same contingencies - appraisal, inspection... know what you're buying. don't get blinded by the seller-finance piece. 

But do you think that 4-5 years is not a window enough of time for them to recover? 

I’ve been doing Subject to and Creative Finance for a very long time, and I know you have to think ahead.

We live in California so I think the opportunities are better when it's OOS.

It’s always great to hear from people who are thinking long-term.

I'm currently pre-approved but my lender gave me a "mid-level rate" which I believe isn't my actual rate since I haven't chosen a property but me not being as educated on the behalf and thinking it was my actual rate I decided to rate shop a bit.

Overall we both would win it seems quite big, esp w interest only the cashflow would be positive. he didnt really like we are doing an appraisal as he might be thinking he can pull a fast one on us w his price tag.. again happy to overpay as i see the potential but obv not outrageously. 2) Can principal be payed down in interest only seller financing? 

I think many ppl will be moving out soon. 

Similarly, if you put several Class D tenants in a Class A 4-plex, what do you think will happen to the property?

I still think we can get to sub-6% this year on the 30-yr mortgage.