Trying to see if any what my options would be.

However, I don't have enough money for the land, and getting financing for land is much harder than for a house.I have an inside connection to the owner, who is open to selling a 1-bedroom wood frame house on the lot next to the land for $60,000.

Would love to hear how you financed it.

Always great to hear from a fellow Texan.The main question I would pose here is - what are your options?

Get your finances in order.

This would be a basic package with available options offered to each participating home owner..

You had many options to choose from and you chose us. 

If he says no, is my only option to back out and lose the earnest money deposit ($6,000) or go forward with the purchase, knowing I'll have a $3,000 - $5,000 bill or more if I decide to do this later?

I have always had the option of getting a graduate degree but never felt the expense would justify what little benefit I would receive.

I also have a duplex coming up on the market soon that would make a suitable house hack that you might consider either financing or creative financing.