If I had cottoned on to the fact that @Dan Kelley was bringing zero cash to the table, I would have started my previous post something like: "Dan, I can't see the Seller agreeing to carry a note for $240k, especially when your own figures won't see you arriving at a large enough equity position for easy refi".So Dan, in short, YES is our answer to your question "Am I crazy to think that a seller would even consider something like this?"

A 1925 build might still be balloon framed, in which case, you may be required (here you would anyway) to fire rate (resilient channel, 5/8" fire-X drywall, non combustible insulation such as rock wool between floors and separating walls) external and load bearing walls in addition to ceilings and dividing walls. 

John, I've partnered with attorneys, their time in making cotton candy at a state fair booth is no more valuable than the other guy doing the same thing.

The government does not have the wool pulled over my eyes.

The basement had white, organic wool wall-to-wall carpet in the finished portion (bedroom + living area).

Years ago, I lived on the outskirts of town, and when I'd drive my VW Bus into town. there was an old man in a black wool coat (it could be 100 outside, still the same) he had long gray hair (he looked like a character on Laugh In) and he'd be hitchhiking.

You'll need to fill the entire area with steel wool and gap filler.  

The neighbor claims there was a cotton item pulled back with the snake line (possibly a tampon) and says it came from my place.

[Unless you are the one trying to pull the wool over someone's eyes!]

Jacksonville, Fl 322202) 7148 Cotton Bend Ct.