HELP! High DTI/High Equity/Low Cash but have off-market oppurt

[Nicole (Dunlap) Pendergrass]

Hi BP,

Long story short: The owners of the 2 family house next door to my 3 family (our buildings share a wall) just text me saying theyre thinking of selling and reached out to me first since I live next door.  If they dont sell they will prob get property management company to take over (they are moving but they dont currently live at the property).

Heres more details: I bought my 3 fam in 2015 as owner occupant. The 2 fam next door was still vacant and bank-owned. I unsuccessfully tried to find out who to talk about buying that side until it was too late. Found people working there, got in touch with the realtor, and he told me property was already in contract. Fast forward to present times: My area (the Bronx) is really appreciating rapidly and about a year ago I tried to do refi/HELOC - 1 to pull out cash to purchase another property and 2 to get rid of PMI on my FHA. I was denied because my DTI is too high (reason is long and could be a full post on its own lol). I currently have very little cash on hand from trying to pay down debts and get my DTI under control, but I have about $150-200k in equity (on the low end). I also have about $20k I can borrow from my 403b.

I'm talking to the owners (husband/wife) this weekend, and I want to come armed with some ideas to present them that would enable me to purchase the building (granted all the numbers work out) or at least have control of the building and any future appreciation. I need help fleshing out ideas!

I know basics about purchasing via Subject-To or doing a Mortgage-Wrap (and that not all banks will allow this). Triple Net leasing popped in my head (but then I wouldnt have access to equity/appreciation).  Has anyone heard of a bank that would bundle financing on both properties together (to tap equity in my property to help with the purchase)?

Also since I dont live "in" the 2-fam building I wouldn't be able to do a lower down payment offered to owner-occupants.  Just need help brainstorming some potential ideas!  Thanks in advanced!