It secures the loan with equity from the current portfolio, so providing liquidity for the down payment.

You will need significant liquid funds though for down payment, closing costs, and reserves. 

I've got $1M in equity tied up in a rental property that I will sell around June '25 to generate liquid capital . 

If you seller finance you no longer own the property but instead own the note which are more passive, no repairs, no maintenance, no tenant calls, little to no liability, more liquid (can sell faster to get your money back if need be), very scalable and less cost to manage the asset.

Nexus Capital will serve as the stalking-horse bidder, acquiring most of Big Lots' assets and operations.The company, known for selling home goods through closeouts and liquidations, secured $707.5 million in financing to support operations during the bankruptcy process.

If it helps, 800 credit score and theoretically could build for cash...but cash is earning more and doesnt want to tie up the liquidity.

i don't think that's the case right now.I think turnkey is a good option if you have significant liquid capital, want to buy in a solid market in a solid area, couldn't care less about cash flow for 10+ years and are even willing to be negative, and are willing to pay for repairs and capex without batting an eye. 

@Marcus GriffinOption 1 offers a lower monthly payment and lower interest rate for a subject-to property loan, but requires a $14k upfront payment, potentially affecting liquidity for property improvements or investments.

A key principal/sponsor is somebody that has the net worth, liquidity, and experience to qualify for a loan. 

My pest control company sprayed this mold in my crawlspace last year with a mold killer last year, but I'm not happy with the results.