Renting to a Previous Owner...

Bought a house this week with an IRS lien. Otherwise I have to either wait 120 days to sell it or work/negotiate with the IRS to have it removed from the house. We're working on the IRS on one hand, but on the other hand the occupant who was the homeowner is wanting 90 days to move.

Normally I would say go fly a kite and either offer him a little cash to get out in 3 weeks and keep the house in good shape or I would evict them if they were unwilling to work with me.

However in this situation since I may be unable to sell the house for 120 days anyway, I was thinking it may be worth making him a tenant. They have agreed to pay 1k a month with a small deposit. This way I would be up about 5 k, and probably save quite a bit on rehab. (the house is currently in really good condition) since part of the agreement would be form them to keep the house nice to get their deposit back.

Then I thought about the tenant vs the owner occupied laws on evictions and how it is much harder to evict a tenant over a home owner. By me making him a "tenant" would I have to treat him as such if it came to the point of having to evict him or could I still treat him as the owner?

If so any suggestions on stil achieving what I am trying to accomplish without having to make him a tenant???


Any feedback is appreciated

Justin