I've been in the process of putting together a private money info packet, as I've not used anything other than conventional financing to date. HOWEVER, this deal has presented itself to me before my ducks are in a row, and is currently in the "too good to be true" category.

I'm still doing my research and have yet to apply my complete skeptical eye on it (i.e.: my contractor) but right now this looks like it could be my white whale if it pans out. I don't want to pass on it just because the timing is a little off.

It's a triplex, bank owned, which the numbers showing decent cash flow with room for raising the rents without much work. I'd like to make this deal work using private money for the down payment, financing the rest. Here are my questions:

1. I can't seem to come up with some natural jargon for friends and close colleagues to approach them about private money lending. It seems forced--anyone have an elevator pitch they'd care to throw at me?

2. As incentive for loaning the money, how do I offer them collateral? First lien? What if there are multiple investors? What's the best way to structure this so they have confidence in the deal and I don't have to take on a partner.

3. This is the first deal I'll do without actually living in the property (though I am considering doing an fha and living in it, but not my first choice due to pmi) so how do I complete the loan paperwork with the bank--it's a legal triplex but currently vacant due to a foreclosure a few months back. Would the bank look at rental history from the previous pm and take that into account.

Excited about the possibilities with this deal. Thanks in advance for any feedback or advice.