How to use Creative Financing when borrowing funds

[Shawn Gardner]

Hello everyone! 

So my wife and I are looking at condo's that we can rent and we came across an owner who happens to own 3 of the 6 units in a building that we're interested in. My wife and I have the down payment for one and we would like to purchase 2 units. We're thinking of asking a friend for a loan for the down payment on the second but we're unsure of how to provide collateral so they'll feel more comfortable loaning us the money. Is there an instrument that we could use where the property is not used as collateral but we're still obligated to repay the funds in a specific amount of time with interest? Any help is greatly appreciated!