In essence, you'd end up paying likely 0% to 15% on your income versus the flat 30% withholding. 

You make a good point...so I have this questionWhat is the best approach with Owner Financing in an area that is flat or in decline? 

Assuming the risk is part of solving the sellers problem which I am baking into the discounted price. 

Reading here and doing research is the only reason I’m confident enough to consider getting into rental properties (and hopefully build long-term wealth).I have found a property that I’m interested in and I’m curious to hear if you more seasoned investors would go for it.I know it’s impossible to know online, but I’ll give you everything I know: 2 Flat – both 2 bed/ 1 bathListed at $119k, realtor indicated that there’d be some flexibility so I’m hoping to get it under $110k.Estimated Rehab $15k (I’m going to firm this up significantly before closing).Rentometer says fair rent is $900/unit.My gut knowing the area is that $700-$750/unit is a safer estimate.Taxes of $4,600Tenants would pay utilities, but I’d probably hire a lawn cutting/snow shoveling crew.Visibly looks like a single family and surrounded by other SFH on quiet street near pretty good schools.A partner and I are able to put down 25% and pay rehab costs up front.It’s in an older, but relatively stable southwest suburb of Chicago.Taxes suck in this town, but otherwise it’s an appealing town for me to be in.If anyone has thoughts I’d love to hear them.

I am thinking more like buying a single flat/apartment or house.

We are looking for a tenant/buyer and would love to see what you guys think before listing it on MLS with a flat rate.

I've had a friend work with a local Realtor here in the Phoenix area who charged a flat $400 fee to list the property on MLS. 

Although, it may be beneficial to hire an agent on a reduced flat fee basis to push the paper.  

Some providers offer flat-fees per property instead of a tiered fee schedule based on value.

If values stay flat, you still have a house worth $92K with an $88K balance in 2 years.