If he's paying me (at settlement) then do I have the option to pay the bank over 5-6 monts (purchase price + regular loan payments _) until zero?
If I am understanding this correctly the answer is NO. If you are selling your property the buyer must receive clear title. This means no liens. If you still owed your bank money, they would not release the lien until the note is satisfied.
Suggest to your buyer that they can upgrade a few things with the house to increase its future value. If you can sell your home above $100K – enough to cover closing costs and offer concessions to the buyer for upgrades then you can possibly pull this off. Of course, the appraisal has to make sense with this but it shouldn’t be too hard if planned properly. This is a win-win for everyone.