Owner Finance Opportunity on Multi, What are My Options?

[Orion Walker]

Hi Folks,

I recently looked at an interesting property in one of my main target areas. It is a mixed use building with 5 residential units upstairs, 1 downstairs, plus a couple thousand square feet of commercial space/office. Owner willing to carry with 20% down (about 100k). I've run the numbers and I think the place is a good deal for this market. The 6 units need maybe 20k to all be in nice rentable shape. They would bring 5-6k mnth, maybe more with some creativity. Rental market is very strong. Add in the commercial space after maybe 20-40k and you should see rents up around 7-8k. Not bad for this Ca market.

So, my main question is how to go about tying up this property. What cash I do have is tied up in another escrow right now. I've suggested a master lease option but so far they aren't interested. 

Ideas: 

- look for soft/private money lender who will loan me the downpayment. Is that likely? I have excellent credit. would an owner finance seller generally allow me to use borrowed money for the down?

- look for hard money to purchase and rehab. I'd need near 100% financing. I've heard this is out there if you do a first and second and accept high rates, but this wouldn't take advantage of the owner finance option. 

- find a partner who can bring some or all of the downpayment money. seems like a good option, but haven't found that person yet. 

- my agent says I should just make an offer to get the conversation started. I'm not very familiar with some of the finer details on owner finance deals, so I'm a bit unsure on how to structure the offer on price/terms etc. 

Any ideas/pointers/suggestions/feedback? Thanks!