First Property Purchase- Owner Occupied- Financing issues

[Tracy Jelliff]

Hi everyone! 

I am brand new here and to real estate. I have found a property with amazing potential! It's a 3 bed 1-1/2 bath with potential for a 1000 sqft apartment over the garage. The sellers have drastically reduced the price because of it being an estate sale (it's been on the market for nearly a year and winter is coming). I know the sellers well, too. 

My problem is financing. I've been denied by three banks for any amount of funds based on student loan debt (debt to income ratio). My father was going to attempt to help by purchasing and then renting to own to me (with refinancing in the future), but we are deterred by the 20% down. My dad owns several properties and has refinance in the past to purchase other properties, so that is not an option.

Any creative solutions to this problem? I can 100% afford the monthly payments as they would be nearly identical to the rent I am paying now (although no bank cares about my ability to pay only my debt to income ratio). I am at a loss.

Any input would be appreciated!

Thank you,

Tracy