Creative financing for Multifamily

[Joshua R.]

Hey BP, I’m looking into purchasing a 33-unit MF. The owner only wants a cash purchase. HM lenders want more down than I can afford. The owner also doesn’t want to do owner financing for some of the down payment. Any other suggestions for financing or am I SOL? Thank you!

[Alina Trigub]

@Joshua R.

Do the numbers still make sense if you purchase this 33 units apartment complex with cash? Is it worth your while?! Have another conversation with an owner as to why do they want all cash? They are going to have to pay a lot in taxes for a cap gain. Try explaining to them the benefits of owner financing.  In other words, continue the negations while looking for options if the property makes sense financially.