I'm finding some great sellers in Orange County who like that option to help with their capital gains liability...you just need an agent who knows how to present that type of offer.  

You can offer them cash for keys-give them money to move.

It works incredibly well for real estate because it offers flexibility, liquidity, and allows you to make your dollars (cash value) more efficient by allowing them to work in two places at once (in the policy itself in participating policies by earning contractually guaranteed interest and dividends as well as in the investment you leverage your cash value for).

I would double check with a real estate lawyer familiar with the laws in your state.  

You could offer to pay him more if he gets the work done within a certain day.

You also have to explore the STR versus LTR in that area to see which may offer a great NOI.If you ever have any specific questions feel free to reach out I enjoy helping and talking REI.

Using an LLC can offer more legal and safety cover.

We took the first offer that we got, we did not want to take a chance.

We would definitely consult a lawyer.

With that amount of equity you'd likely qualify for a HELOC on your primary residence to access that equity to buy an investment property or to buy a new primary and rent out your current home - the latter is what I do personally and all of this is what I offer my clients professionally.