A deal I am trying to figure out how to fund.

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I have a deal that I would like to get advice on how to structure and present to a possible private money lender. Maybe I can even find one here. I am currently in a sandwich lease. I have tenant buyers in on a three year lease option at an agreed purchase price of $160,000 with $15,000 down, plus an additional (possible) $3,600 off for paying no later than the 25th of every month. Ideally what I would like to do with this deal is find someone that would lend me the $120,000 I need to purchase the place. I would split rent and back end profit 50/50. I receive $1000 a month and am due another $21,400 if/when the tenants exercise the option. The current estimate market value is around $175,000 which is good security for the $120,000 investment (68% of ARV). My thought is that if the tenants don't exercise the option, I can find new tenant buyers and sell at a higher purchase price and higher monthly rent.

I think the monthly is too slim to try and go after hard money. I'm not sure what they actually charge, but I've heard its a lot and can eat up profits quick so they are only ideal for short-term needs. Splitting the monthly rent would mean a %5 ROI on $120,000. I would have to pay taxes and insurance ($137 a month) out of my half which would leave me with $363 positive cashflow.

A traditional mortgage is not an option as I had a student loan get called due while I was still in school that I wasn't aware of and posted negatively on my credit. Long story, but I was given  a "too bad, so sad" answer and that I would have to wait it out.