Maybe she’s financially illiterate and won’t see what a scam your seller finance offer is, but she did have $100k laying around to buy the property, so probably not. 

I was thinking if I can do creative finance with seller finance deals this may be a way to help me get where I want to be.

I used that book for all my seller finance contracts and bout wore it out.. most of my seller carry in those days was 10% to 18% for 5 to 10 years..  

@Enrique Toledo  If the seller is firm at 10% down, you can always get a personal loan for that 10%. 

I'm in the process of vetting some seller financed deals for my solo401k portfolio.

(Anything that isn’t your primwry first is only tax free on a pro-rated basis.)I don’t know how you could swing it but…If they gifted you the kand they would avoid their capital gains tax.

If they say they can't swing it, should I just go ahead and rent to them at $1,550? 

I would also recommend talking it over with a RE professional in your area to make sure the comps for profit are accurate because it could swing a lot with different profit projections. 

however, if you could find a loan product that worked for you and your situation, its a fantastic idea in my mind, and worth taking a swing for.

If you want to swing for the fences, that 3 yr, value-add deal with floating rate debt may be the right fit.