Private Loan for Down Payment

[Michael Caldwell]

I’ve heard of folks borrowing from their personal network for a down payment, but is this actually used in practice?

My partner and I have an opportunity to buy a home that’s going to be leased to a non-profit, and we anticipate we’ll have the opportunity to do so with many other properties with them.

Because of the rental rate we’re able to charge the nonprofit, our cash flow would support a note to our down payment lender at up to 11%, but we’d need a term of 5 years or so on that. Does anyone know of resources we should look to as we try to find such lenders?