Then, rent out 2 or 3 other units to live effectively mortgage free!

I agree that communication, organization, and accountability are all key in being effective and efficient in achieving your goals.

Bigger Pockets has so many interview videos with successful wholesalers, and here are some of my favorite YouTube channels to watch on that subject: The Dominique Effect, Brent Daniels, Max Maxwell, Kris Krohn, Phil Pustejovski, Clever Investor, Wholesaling, Inc., Propelio TV, Flipping Mastery TV, and real estate attorney William Bronchick.

What do you think is more effective marketing method for getting leads in 2020, your online method or your mailers?

I have shared the obvious answer that he would take the the house back, but I can tell he is still worried about having to foreclose.What techniques or messaging do you find effective to address these type concerns and put the seller at ease when trying to close a seller financed deal?

Hopefully the law suit has some effect. 

Suggestions:1) get good rental property insurance that covers loss of rents for covered reasons: fires, etc; 2) be a good landlord and treat your tenants as customers you will reduce liabilities with an ounce of prevention; 3) Get umbrella insurance which also helps to covers your assets in a suit; 4) IF you get an LLC you must run it as a separate business or it will not provide you any protection (I'm not an attorney, but that's my understanding); meaning if you combine your business funds with your personal funds, they will be able to demonstrate it behaves as a straw company and really the courts should ignore it as a separate legal entity (my understanding of the risks).  5) LLCs can make lending/borrowing more difficult, until you want to borrow non-conforming loan funds (non-Freddie/Fannie) or you hit your 10-15 property limits with Freddie/Fannie, at which time you'll need to go to commercial lenders who will WANT the property/loan to be in an LLC.  6) As you grow your portfolio keep in mind conventional lenders will look at your DTI (debt to income) ratios. 

I'd be holding it in cash right now, waiting for the effects of COVID to emerge more clearly economically.  

So at least they know the structure exist but do not count as bedrooms.My idea is to buy the property cash and renovate to then cash out but I would need the expertise of appraisers and lenders to make sure I don't get stuck and can effectively cash out.Question for Appraisers: How do you appraise these features?

The effect this could have is a lack of experts involved in your first transaction.