Could be a business decision based on keeping long-term high quality tenants rather than risk the costs on turnover. 

I am starting to think it is such a low number that the owner will never accept. 

So, what if the tenant never accept the mail?

Freddie accepts this.Couple of options from here: If you did not set up notes receivable, recognize that you may owe it to your seller and take the hit on a higher rate refi to help him.

I'd note you're most likely going to do the whole process over again, so don't be surprised if your lawyer doesn't accept your 14 day notice and will send their own.

If I were you, I'd pass on this property and look for something else (and I suggest a 3 BR) under $80 that you can put a little rehab into, unless insurance pays your family member a bunch of money and they accept a much lower price. 

You will need the cash to build it and I doubt banks will be favorable with lending terms.

Run the numbers you may do better long term or renting as a whole unit.

It may cash flow for a year or 2 but once things start breaking or something goes south with a tenant or it sits vacant for a few months, all of that previous "cash flow" is wiped out.The business model is a high CapEx / low cash flow business model relative to the value of the assets.Rentals are a great long-term wealth-building vehicle (appreciation, loan pay down, tax benefits, etc).Don’t rely on them to pay for your groceries.Sounds like you have a lot of experience in negative CF, and not in positive CF. 

If you can find a fixer at a good price, with room for an ADU, and the comps are good, then you have a deal.Are you planning on flipping or long-term holds?