Options for Private funding for down payment

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  • Jared Martz
    Rental Property Investor · Myrtle Beach · Member since 2019 · 38 posts · 25 votes
    1y

    Can you look into a different type of mortgage that requires a lower down payment? 

    0Reply
    • Rod Segovia
      OP
      Member since 2020 · 4 posts · 6 votes
      1y
      Quote from @Jared Martz:

      Can you look into a different type of mortgage that requires a lower down payment? 


      Since this is far from where I live the only way will be DSCR loan.

      1Reply
  • Elias HalvorsonBusiness Member
    HI · Member since 2024 · 225 posts · 130 votes
    1y
    Quote from @Rod Segovia:

    Hi there, I am looking to invest in a 4plex, but I am short in cash to complete the down payment of 20% for a dscr loan, any suggestion on how can I get the remaining cash?


     Personal loan. Some have stipulations that you wont use the money for investing in property, that being said, Im not sure how many actually check it. SOFI offers loans up to 100K (if you qualify), plenty of places offer at least 50K. Not sure how much $$$ you need. 

    808-517-6416
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  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    1y
    Quote from @Rod Segovia:

    Hi there, I am looking to invest in a 4plex, but I am short in cash to complete the down payment of 20% for a dscr loan, any suggestion on how can I get the remaining cash?


     Bring on an equity partner. 

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  • Patrick Roberts
    Lender · Charleston, SC · Member since 2019 · 1k+ posts · 1k+ votes
    1y

    Partner with someone. The vast majority of lenders will source your downpayment funds if they arent seasoned. 

    0Reply
  • Stephanie MedellinBusiness Member
    Mortgage Broker · CA · Member since 2014 · 1k+ posts · 644 votes
    1y
    Quote from @Rod Segovia:

    Hi there, I am looking to invest in a 4plex, but I am short in cash to complete the down payment of 20% for a dscr loan, any suggestion on how can I get the remaining cash?


    We can lend up to 85% of the purchase price (15% down) on DSCR, even for 2-4 units.

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  • Amber Stout
    Lender · Tampa/Saint Petersburg, FL · Member since 2014 · 379 posts · 152 votes
    1y

    Hey Rod! 

    A few options I’ve seen work:

    • - Partnering with someone who brings the down payment in exchange for equity

    • - Tapping into a HELOC if you have equity elsewhere

    • - Unsecured business credit (not always ideal, but can work short term)

    • - Private money from someone in your network—just make sure it’s documented properly so it doesn’t kill the deal

    • - Conventional 15% Down / DSCR + asset depletion 15% down

    If you’re still early in the process and want to brainstorm options based on your full picture, feel free to reach out. I work with investors all over Florida.

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  • Stanley Yeldell
    Member since 2025 · 116 posts · 52 votes
    1y

    Hey Rod — a few options to cover your down payment:

    Private Money Lender (PML): Partner with someone who’ll fund the gap in exchange for interest or small equity.

    HELOC or Personal Loan: Tap into equity from another property or strong personal credit.

    Silent Equity Partner: Offer a % of cash flow or future refinance proceeds to someone funding your down payment.

    Seller Financing: See if the seller will carry a second lien to help bridge the gap.

    0Reply
    • Rod Segovia
      OP
      Member since 2020 · 4 posts · 6 votes
      1y
      Quote from @Stanley Yeldell:

      Hey Rod — a few options to cover your down payment:

      Private Money Lender (PML): Partner with someone who’ll fund the gap in exchange for interest or small equity.

      HELOC or Personal Loan: Tap into equity from another property or strong personal credit.

      Silent Equity Partner: Offer a % of cash flow or future refinance proceeds to someone funding your down payment.

      Seller Financing: See if the seller will carry a second lien to help bridge the gap.


       Thank you, right now working on raising private capital, and I will see the owner financing option as well. thanks!

      0Reply
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