Here's the deal. Father owned land that he had sold on an installment sale in 1996. Father passed-away March 2010 and I inherited the property. The purchaser from the original installment sale is now making the payments to me. The balance remaining on the note at the time of father's passing is $11, 068.41. The FMV at the time of death was $27,255. I tend to think I need to report this as an installment sale on my taxes (form 6252), but I am not sure what to put down as the selling price on line 5 or what to put down as the cost or other basis of property sold on line 8. Any advise? Thanks!

What you inherited is an $11K note, payable by the buyer to purchase the balance of the property that was not already paid for prior to your father's death. Use form 6252, and show $11K as the selling price for the balance of the property. For your cost basis you can use a fraction of the property's FMV at time of death equal to the portion of the original note that had not yet been paid.