I guess we need to agree a price?  

I offered him $1000 cash for keys to move out peacefully and he agreed. 

Say I have a lease option contract deal with a seller who is agreeable to do a lease options deal, and we agree on X-amount per month for a lease, what if I'm unable to find a buyer in 2 months.

I agree about scaling and walking around the hood with a wad of cash is stupid but that’s what these people know that’s your clientele and you gotta  know your customer and willingly accept their flaws .

You have no control over rental restrictions  Agreed. 

Yes I also agree with Robin in getting everything in writing. look forward to hearing more about this issue.

Let's just agree your target market segment is real slim on these.Now that is the case with distressed homes, but there are also 'motivated sellers' who just do not have time wait 45 days for your buyers with VA/FHA loans to close. 

I want to propose seller financing to the owner for the 2nd building, if they agree I have no idea what to do next.

I agree 100% with Dave Foster; in fact I used t have a friend from Salt Lake City who before he passed away had a company he named HAB; Highest And Best.  

I would let your escrow company know what the agreed upon terms are that you want in addition to the AOAA and they should be able to recommend the right solution.