3 Family Private Sale

[Chris Daliani]

Hello BP Family,

I have a question in regards to how to go about buying my first investment property. This 3 family property is located in Guttenberg, New Jersey (which is in Hudson County). I personally know the seller. Currently the seller owner/occupies the 3rd floor and rents the 2nd floor to an elderly Aunt, and first floor to her nephew and his wife. She had contacted me to list the property potentially about a year from now, being that I am a real estate agent, however I am interested in buying it.

I will not be owner occupying it. I went to look at the property and it is in great condition and each unit is renovated nicely. Her husband discussed that if he could get 350-400k for it he would be happy. Being that I want to buy it direct I will be saving him the broker fee and hassle of listing a home. The current market there would bear probably 420-440k for the property. I obviously want to get it for as cheap as possible.

I do have funds for a down payment, however I do not want to tie up all of my money as I want to be able to buy more in the near future.

My question is what are some creative ways to purchase this property without coming out of pocket with a lot of funds, and making it appealing to the seller? Additionally I have a fairly wealthy Uncle who has cash...could this be an option of some sort? 

I am currently waiting on the income/expense report? What else should I request for a proper analysis?

Thanks!