I made my money on carrying the paper at 9.5% and if it is land you acquired with sweat equity than just that much sweater!

Option 2: Have the seller carry the note until you sell your current home at which time you can refinance the seller out of the 2nd. 

You said you don't want to view this deal speculatively, that being the case cash flow is king.As an aside, I would consider renting the garages out separately, or include them with the units as an optional ~$150/month extra.

We had it listed for 1250 per month but rented it for 1600 per month to a couple who's house exploded in a gas fire and insurance is paying extra because of the short 6 month lease.

Asking price is $1.5 million, seller willing to carry for a 2-3 years while it's being re-positioned, 20-25% down.  

If you find what is in your criteria, and feel it is a deal it may be worth spending the extra 150$ to turn on temporaly.

This provides extra protection for non-payment and potential damage.

I have found a deal that the owner is willing to carry back 20%, has anyone done this kind of deal?

I notice on the BP Rental Property Calculator there is a field for "Other Monthly Income" and the question mark icon gives "extra storage" as a possible example of such other income...I have a 3BR / 2.5BA Townhouse for rent @ approximately 1600SF with an 800SF partially finished basement.

If I could find a commercial lender that can do 90% LTV with a 30 year term could something like this be purchased with no money down if the seller carries the 10%?