The only reason I did not move forward was because I want to use leverage for my purchases while they prefer cash, and while their COO Peter was very cool and said they could potentially do my deals, the loan had a balloon payment at the end which is not the type of loan I am looking for.

Just because they can give me a large down payment doesn't mean they will pay me on time every month.Thanks,Kelvin

I'm now looking for a quality loan servicing company out here in the Bay Area, or anywhere for that matter, if they can help facilitate my payment process to the seller.

In 2 years, you should have a solid down payment to buy your 2nd property.Good luck to you. 

For someone starting out on their first deal, I don't recommend doing a complete renovation unless you have reliable contractors or have some sort of prior experience.I would of chose a small multi-family property that need very minor repairs (which this type of property ended up being my second purchase).

How else can I raise the down payment.

I am closing on my first condo tomorrow and I have already have found good, reliable tenants.  

If I were to schedule a credit card payment which is due on the 3rd, I would schedule my payment to go out a few days in advance such that the full payment is their hands by the 3rd to avoid any penalties.

I know how i will get the money for the down payment.

So if you have down-payment I would go with 4 Family.