Purchasing a Large Portfolio

[Logan Jorns]

Hi there!

A seasoned investor with whom I've been networking with for the past year and a half has expressed interest in retiring. Because of this, he is interested in selling some of his portfolio. Because his portfolio just became available for purchase he is wanting to try to sell it in one package. I am attempting to draft up a few different offers to present to the seller in hopes of securing the properties. A couple of options I have been throwing around are: 1. Interest only payments to the seller for 5 years with a balloon payment made after year 5. Acquire a commercial loan to pay off the original seller and then have the commercial loan amortized over 20 years. 2. Typical seller financing deal: "x" interest rate amortized over "x" number of years. 3. Acquiring a commercial loan / hard money loan for the purchase price, however I do not believe the DSCR is at / above 1.2.

I am struggling to decide what my best option(s) are. And am wrestling with the answer to the question of "How can I afford it".

Any advice is MUCH appreciated!