This home purchase is contemplated on cash in pocket, if I can get $1,600 monthly on a $83k investment, then I have no intention on disposing of this asset and thus the interim flows will be well above market, and if I sell I will at least recover my investment plus appreciation having accumulated those cash flows.

If your grandmother passes within 2 years of recording the deed, the feds may look at as a "deed in contemplation of death".

The primary lender is going to want to see some of your own cash into the deal.If you can orchestrate a deal like you're contemplating, all the money would go to the title company and be disbursed at closing.

I'm aware of others contemplating the same thing.

Contemplate and enunciate your current position and goals. 

What I'm contemplating is to withdraw funds from my ordinary IRA; I won't have to pay taxes if I replace them within 60 days.    

This means that when you contemplate a 1031 exchange at least for now you are only looking at federal top rate of 20% plus HCA surcharge of 3.8% and depreciation recapture of 25%.  

@Brian Goodwin another thing to consider - be aware sale prices and rents have gone up quite a bit in the last few years so any A/B properties you contemplate buying at market price today will need to have the ability to cashflow in the future should there be a correction and rents go down in whatever location you decide to purchase...

When an owner contemplates the terms he/she isn't looking much further than the first 3 payments, so offering more for a total price might not be as big of an enticement as you think.  

I am contemplating starting a partnership with 10 investors at $50,000 each to raise $500,000 to be used to acquire, renovate and re-sell residential homes.