What are my financing options here?

[Ani Sanyal]

Hello all,

Long story short, I am currently in contract for an investment unit in Jersey City, NJ. The unit is in a solid location and great cash flow producing opportunities. The seller's agent did not disclose this information at the beginning, but the unit belongs in a nonwarrantable complex, meaning I can not get conventional financing.

I have been shopping around portfolio lenders for the past few weeks but haven't been able to get a decent quote from anyone. The best option I was able to get was 40% down, at 5.125% with 3 points upfront on a 7/1 ARM, which I'm really not keen on pursuing. Here are some more specs on the unit are:

Price: $79,000

Down payment: $20k (25%)

Loan amount: $59k

Addt: 750+ FICO, stable income, etc.

If I can't find a portfolio loan, what are my other options to try to get this deal done, other than to buy it in all cash? Can I ask the seller to carry a note back? I know it's a very low amount of money, which is making things more complicated. Any help would be really appreciated, otherwise I am going to have to kill the deal. 

Thanks everyone!