If I do end up going with private money, what would be a good way to structure the loan so that everybody wins?

We're in Portland, Oregon and very few cases can you hit the 1% "rule", and if you do you have to be creative.I wanted to share a win today that has been in the making for the past 10 months because I think it is a good example of what a low cap environment looks like and what a solid base hit looks like for those that want to invest in small multifamily deals.Here are the details on the property:9-units in an up-and-coming neighborhood Purchase price: $1,550,000Cap rate: 4.5%Average rent was ~$995 and Owner was paying for garbage and water/sewerWhen we took over we immediately had a couple units turn over, which was great because we wanted to get in there to do some upgrades (we do a lot on the sustainability side that include reducing hazardous building materials, energy efficiency upgrades, bike storage, decreasing utility consumption, etc).

Throwing some example numbers, if it's appraised at $100k, listed at $50k, and the homeowner owes, say $35k including all fees, then it's a straight forward purchase and a win-win. 

if no one is willing to bid over that, the bank wins and they move on to the next one.If you willing to pay over the banks bid, you shout your bid (like on tv)  I think there is a minimum of 1000 bid increments for this CO. 

Being that it's your family the feeling in the room might be a tad bit more gentle but what usually wins people over is a method that proves to be working or some sort of progress made in the direction of a really good plan working.Secondly, I'm a REALLY BIG boxing fan, I know of boxing twins that reside in the Houston area, along with some other major players in the boxing world. 

I basically want to go out and help sellers solve their problems using different contract types that basically are a win/win scenario for all parties involved. 

He is a great guy and has a business model that is based on win-win.

Many people never take the leap to actually own property.I would love to connect with you and see how we can make some win/win business situations.Thanks!

This seems like a recipe for a classic heads, you win, tails, your investor's lose situation.

You are welcome to join if you are available. https://www.biggerpockets.com/forums/521/topics/573796-june-winnebago-investor-network-win-dinner-meetupDon’t give up,Craig