Try offering a one year lease at $3000, if you are unsure of the advantages of M2M, as a alternative and see what they say.Fact is they are considering moving, when is uncertain, but likely hood is that reducing their rent $200 is only going to cost you money and not change their plans down the road.

The father was a veteran.Due to interest rates rising, I suspect the lender may call the loan due if the deed changes name however I'm not sure if this deal can move forward because of triggering the due on sale clause and keeping the estate active to do Lease Option?

@Beth Chang this is definitely a HOA issue and should be repaired by them.

My kids are in an elementary school that we love but the area we live in is changing drastically fast.

By-laws can change over time. 

@Nicole Heasley run fast!

. $525k all in with ARV of $650k changes things quite a bit...you can't pull all your cash back out, but getting $350k back may work...What is your possible appraised value as-is? 

I believe this was changed under last year's tax "reform" bill, but may not have been a permanent change.If I remember correctly, you can take the CapEx as expenses or 50% or something like that.

Deals will come and go based on the market and your sources, but as long as you understand your market and don't change your criteria because there "aren't any deals," you will be fine. 

I don't know how to go about changing to 3 addresses, how to address utilities, heating and any other requirements (e.g. 2 doors per dwelling or 1?).