Multi-Family Investing

[Derek Buescher]

Hello everybody,

I am trying to get started in investing in multi-family but am having a hard time figuring out how to come up with 25-30% down. I have my spreadsheet ready and know my purchasing criteria but I am worried about making an offer on a property and not being able to  come up with the down payment and financing. I know getting investors is the obvious solution but the people I know I feel like don't have money or want to invest with me because it's my first deal and I am not proven yet. 

Also how do you structure the payments to investors? Let's say I need $150,000 down and I get three investors with $50,000 each how would they get paid back and what percent.

Thank you in advance for all your help.

Derek

[Marcin Ferenc]

Hi @Derek Buescher and @Kayla Davis . If you are looking to finance up to a 4 unit building and don't have the 25% down most banks require for an investment how about going the FHA route and putting down 3.5% and living in 1 unit for a year provided you don't own other real estate. If you do own a primary already than most likely 25% is your only choice unless you can find a seller who will offer you financing for most of the down payment. Private money will be difficult to come by as most won't work with first time REI's.