I agree that sharing our experiences can be beneficial for investors who have never encountered such a situation before.Being an investor who takes a hands-on approach, I truly understand the initial emotional impact and the importance of providing immediate support to tenants and assessing the property's condition.

If you can show me a bank statement with a million dollars in it, a lender will tend to not assess the loan as being as risky.

The owner financed position is a potentially zero interest loan that should be considered.Another quick note: consider leasing his land with an option agreement as well.

But sounds like you have more due diligence to potentially do.

Based on current rent not potential rent max price should be 900k to be able to cash flow property. 

Focus on the numbers, finding/buying/creating an opportunity, and maximizing the potential.

I'm with you @Noah Laker , I think there is huge potential in college towns and mid-to-large cities so long as you do your homework on the legal side.

Does not matter from whom you borrowed and where they got the money to lend you.Third, their situation is potentially problematic.

What I did was had my mason come and assess the property and give me a bid to fix it.

I also considered the appreciation potential.