If they don't pay willingly, what are my options? 

Obviously the numbers and location would determine which is the best option for me but these would be my preferred methods. 

If this property is hard to rent, or is functionally obsolescent (only 1 bathroom, no yard, etc), or has deferred maintenance that will be costly, or is in a location that is not appealing to Tenants, then maybe a sale would be a good option in favor of a property that has better Tenant appeal, which will likely increase rent and avoid long vacancies in between Tenants.An option to consider....

I feel like these are my only options:- House Hack: Would I still need to pay the 6% tax rate if I'm getting rental property insurance?

The "typical" off market seller is someone who thinks their house is in too rough of condition to sell on-market, but doesn't have the money to fix it themselves.  

As already mentioned, he wouldn't be able to use rent from roommates to help qualify but based on the numbers you shared there should be a VA option available considering how much flexibility there is. 

What I see is typically in the $3k - $6k range for those types of properties.

It's best to reach out to multiple lenders to explore your options.

@German Fernandez Love those options!

I typically focus on off-market deals, so I didn’t work with an agent to find this property.