Finacing 6 Unit 2fl 2br 1.5bth

[Doyle Brown Jr.]

Greetings to All!

I'm just starting out in real estate investing in serious way thou I've had lucrative sf subject to and lease option deals that I've profited from on the front end, residually from monthly cash flows, and closings. I used those funds to pay down my bad debts in effort to rebuild my credit so I can finance my own deals in the future. 

Currently, I have the opportunity to get a 6Unit apartment building (row of townhouses) at 15% less than the tax assessment value. The property owner is willing to carry a note provided I can pay 50% of the purchase up front, @ 4.25% 20yrs. I'm considering viable options to finance the down payment. 

Through negotiations, the owner is willing to take a subordinate on the owner financing note. 

Can I do a land contract for the deed and finance the down payment to the owner with a secure line of credit collateralized by the property? Is this a sustainable strategy considering I'm not looking for cash flows?

Thanks for your replies