6% return for downpayment for NYC triplex under contract?

[Libby Tucker]

I was pre-approved to buy a house in NYC (a goal I've had for a long time)!  I now have an accepted offer on a triplex in the Bronx.  I'm looking at a 10-20 year hold and rent strategy. 

Loan requires only 3.5% downpayment, with purchase price of 515k.  

I'm short on cash, I just used what cash I had for a seller-financed deal.   

I was told by the lender that I would qualify for a downpayment assistance grant for 15k but that fell through (the program only allows well-known lenders (i.e. Chase, Bank of America, etc and they were not on the list).  

I'm looking for cash for 3 things: 

1. 1) downpayment (3.5%) 
2. 2) closing costs (5%) 
3. 3) cosmetic repairs (up to 50k) 

We are doing a concession for 15k to the seller so that reduces the cost of closing but without the grant that would have been 15k I'm still short 40k just to close.  After closing I could get a 203k rehab loan for up to 30k I'm told.  

But, I need help to close.  

I'm asking friends, investors, etc for 50-100k to help me close on this deal (and possibly also cover basic cosmetic repairs vs. taking out the 203k loan). 

In exchange I was looking to pay back the loan at 6% over 24-48 months (depending on the amount borrowed).  

Does this sound like a good deal for the personal lender?  Are there people who are willing to do this?  I know there are hard money lenders but I'm not sure the interest rate or term would work for them. 

Are there any other grants or things I should be looking at?  

Does anyone have any ideas or comments based on personal experience?  Thanks so much for the help!  

Libby