The tenant tried everything he could to delay the eviction from trying to make the Sheriff feel sorry for him, to accusing one of my move-out guys of being a criminal, to offering to pay me "extra" if I took him down to the SS office to get his money.

@Sean SullivanSorry about the delayed response - I'm not always the best about checking my BP notifications!

Spending the money you are talking for a system that will add minimal value is not where you should be spending your money for a flip. 

Our plan has been to establish a strong financial foundation of properties that provide very strong cash flow while capturing the high market appreciation (maximize returns while minimizing our risk).

If the SMP 500 gives an average return of 7% return each year, and has minimal risk, then we do not want to invest in anything that has more risk for the same yield.

If the house were minimally livable based on other prices of houses in the neighborhood, excluding the extra land what do you think the house is worth if you had to sell it?

They were so bad,  I had to delay closing to switch lenders.

He would like to sell the property while minimizing his tax liability, which ideally would be an additional land contract to our company. 

If it's only a more recent development, there may be a very plausible reason for it (e.g. the tenant just switched jobs and there was a delay between his last paycheck at the old job and his first paycheck at the new job). 

.- Consider liability protection: Look into forming an LLC or other business entity.Starting with cash is a smart move to minimize risk and learn the process.