Found a great deal but need more $ for the down payment

[Brandon Lahaie]

Hey BP Family:

Hope this message finds you well.

I recently came across 8 unit apartment building that seems to be a fantastic deal. Numbers being $525k for the purchase and 150k down which based on the numbers would generate around $3200 a month in cash flow. In my opinion, there seems to be opportunity to raise the rents as well and to increase the NOI through reducing some of the operating expenses and adding more revenue streams The problem is I am short 30k to 40k in order to get the all the $ necessary to cover the down payment and I am not sure of where I can get the additional money I need from.

I currently own 6 SFH and have equity in the properties but most lenders that I am aware of won't do a second/Heloc option on it.

This would be my first “commercial” deal so I am a little nervous to be honest.

I am open to partnering on this opportunity but I don’t personally know of anyway that has the resources as my social circle is fairly small.

Any thoughts on what I could do to take this deal down?

Any help,advice or guidance would be very very appreciated.

Thanks so much for your time.

[Nathan Gesner]

Congratulations on your first BiggerPockets post!

Is the owner willing to do Seller Financing? You could put $100,000 down, enabling him to do what he wants with the money. Then he gets steady payments for the next 3-5 years, then another big payment at the end when you refinance. There are some great benefits for the owner.

You could also ask to put it under a longer contract, say six months, so you have time to round up the remaining money for the deposit.