However if I bring back up to market conditions I would net about 30k but would have to invest an additional $6k to not including carrying cost.

Just do your homework because the buyers' mortgage lender might not approve the loan if they feel their borrowers are going to be carrying too much debt.

The deal can be structured so that you "the seller" carry back a $90,000 first lien, usually with an 8% interest rate (which you will sell to a note buyer at closing) and a $5,000 second lien, which you will keep and receive monthly payments for.

The deal can be structured so that you "the seller" carry back a $90,000 first lien, usually with an 8% interest rate (which you will sell to a note buyer at closing) and a $5,000 second lien, which you will keep and receive monthly payments for. 

There are two homes on the property, one of which we will live in and one which is a rental unit bringing in $1,700/ month.The loan is a relatively high interest rate (~4%) and carries mortgage insurance of $425/ month.  

if so that is SKY high.unless he is carrying the job for you..but if your paying all subs and providing all the capital and its not a one off custom build you will find that 15% of cost is just about all your profit or equity. 

If anything you should feel good that the platform is complying with the rules, hopefully that also carries to their underwriting :).

Once you have made definite plans, and have the faith you can carry them out and the belief that you will, you are ready.  

I am an electrician by trade and own a 1916 home myself so the commonly frightening buzzwords such as "knob and tube", "plaster walls", and "asbestos tiles" don't carry quite the same weight with me but it will be nice to have someone who is as objective as possible.If you feel comfortable answering, could you share what you budget for repairs on these older properties?

I haven't tried suggesting an installment sale or done an owner carry (other than one pre-foreclosure) and have just done cash wholesaling so far.