MikeI have several houses with 30yr fixed mortgages, one that used to be my primary but is now a rental.

The second property will be purchased with a mortgage (you can determine how high or low the leverage will be by adjusting the proceeds you use or the price point of the 2nd replacement).You are adding some measured debt at a level that your dad can be comfortable with. 

Look for a private lender to bridge the gap, or hard money perhaps.

Aloha George, we work with a lot of elderly homeowners who are in reverse mortgages or in distressed situations. 

Hi,I have a house that is owned fully by me (no mortgage) that I created a lease option on with a lessee.

I also dont know if I am considered a private lender or hard money lender.

If a private party w/o an agent wants to see it, I have to meet them.

@Jennifer Dennisson Awesome, I just sent you a private message :) 

Then with that money you get your pay back your private lenders/hard money?

One property I am currently looking at is a new construction townhome - 3 bed, 2 bath, and 1900 sq ft for a purchase price of $360,000 (Roughly $2600/month mortgage payment).