A Real Estate agent made an offer for his client and BlueGate was who wrote the approval letter for the Buyer. 

There are lots of folks Bigger Pockets who feel they have to carry a gun to show vacant units.  

Instead, he wrote a threatening letter (first contact since closing) and demanded thousands of dollars. 

Having the seller carry a second is not a problem for the first, as long as their business with you is finished and the loan has closed.

@Heather Bailey while I live in my duplex, I have a standard Hazard insurance policy and I also carry an additional 500k umbrella policy (optional); both policies cover the entire building, but there's no separating it. 

This would allow for a longer carry back with up front cash flow.

Plus I dont think any contract would hold up if a seller wanted out.this goes for unsolicited  yellow letters/ robo calls / robo text style of marketing. 

These should be reflected in the purchase price or negotiated as part of the terms, such as the seller carrying some of the renovation burden.Use seller financing to your advantage by proposing a price closer to $225,000-$250,000 with terms such as 20% down, a low interest rate (4-5%), or interest-only payments for 3-5 years, with a balloon payment once renovations are complete and cash flow stabilizes.If the seller is firm on price, consider negotiating higher down payment terms to reduce the financed amount, paired with interest-only terms or a price reduction tied to renovation milestones.Key questions to address include the condition of the septic system, which can be a significant expense if it fails.

I wasn’t prepared to lose so much of my savings as carrying cost basically I paid for the tenants to live there for 3 months + my own living expenses in that time.

If you are on cash accounting, yes you could do that.On the other hand, you are ignoring carry-forward losses.