Best Financing Options for Purchasing Home from Parents

[Andrew A Sanchez]

Hi everyone, I am looking to purchase a couple of houses from my father who has been getting into real estate investing in the past few years. The houses were rehabbed by him and my intention is to rent and hold them. As some additional background, I am just beginning my real estate investing journey but do I already own a home, so I do not qualify for any first time homebuyer loans. I have begun talking to a bank I have a good relationship with and they are offering investment property loans that cover 75% LTV at rates between 3.375 and 3.5%. This still leaves me paying more out of pocket than I would like. What are the best options available to me to reduce my cash investment? I have been reading about piggyback loans, but are those even applicable to investment properties? Also, who would be best to talk to about these things in greater detail?

Thanks for your help!

Andrew