Need cash for a Buy & Hold, 14 unit

[Patrick Ryan Cheek]

I've found a 14 unit apartment complex that recently went up for sale, ($490,000) all units are full.  I don't have enough cash for the $98,000 down payment.   With a 20% down payment it cash flows $2,900 meaning the down payment can afford to be a higher interest rate. What are my options?

I have $25,000 cash.

I've looked into HELOC. It only affords me $21,000 after 80% LTV.

I'm looking into hard money loans.  Even with the higher rate it is still positive $800 cash flow.  But I feel like my chances are slim since I'm seeking a loan for a down payment.  I feel its too risky for investors.  What can I do to finance the down payment?  

[Kevin Sobilo]

Ask for a seller carry-back for the amount you need. Basically the seller would be giving you a 2nd mortgage on the property to cover the down payment money you need.

It will probably be a shorter term loan at a higher interest rate than your primary mortgage, BUT you have enough cash-flow to afford it, AND if the property appreciates OR if you can force appreciation by improving it, increasing rents etc, THEN you could refinance it in a year or two and pay off that second mortgage.