It sounds to me like the wholesaler bought the property and is trying to carry the note or L/O.

I wish you continued success and am sure you will find a lot of good information here.I also have limited experience, but my biggest mistake so far was to not properly qualify a L/O tenat.

I've heard of other sellers that were willing to do longer-term deals like L/O or Sub2s.

The payment on the L/O is an installment due on the down payment, not a rent credit.

If you can get him to agree to the terms of a LO a straight sale with similar terms should be no different.I personally would do a straight sale and take control of the property now, also you will likely need that because it is doubtful you will be able to find a loan for such a low amount.

No Ben, the LO fees can be paid by anyone, if they are paid by a borrower the fees are worked into the formula in classifying the loan as being high risk or qualified as to the originator in what they do, nothing to do with you.

I started off slowly with some articles, then got hooked on the podcasts, and lo and behold... am now posting my first post on the forum! 

No maintenance done by tenants or optionees in a L/O !!!!!

@Gary BrownI'm guessing you are buying on a LO and selling on a wrap w 15% down

The house is worth $200k and rent in the area is about $1200.If I understand L/O assignments correctly, I make a lease option agreement with the seller to lease the property with the option to purchase for X at a later date.