Seeking Private Lender for a Creative Financing Deal

[Abel Nathaniel]

Hello BP Community,

I hope all is going well, and that everyone is having a wonderful New Year thus far. I am posting today as I have been looking to acquire my first rental property in the upcoming months. I have a proposed method of creative financing, that I would like to pursue upon finding the right private lender to assist me in funding this deal.

The property in question is located in Ridgewood, NY, and is classified as C2 (5-6 Family Walk-up). It is worth around $1,200,000, and the asking price is $999,000, however I am looking to acquire it in the upper or middle $800,000-$900,000 range. I also got an offer for a personal loan at $33,000 with a monthly payment of $901.86. This Loan, combined with what I will take out of my savings, would allow me to comfortably put around $41,000-$50,000 for the initial downpayment.

With that said, I was looking to structure the deal in the following way: I will use the aforementioned $41,000 as my downpayment which will be around 5% of the purchase price—the subject property is around $800,000-$900,000—ask if the seller could provide the remaining 15% down as a second position lien with a ballon at 1-3 years, and mortgage out the remaining 80% as a first position lien through a private lender.

The structure is kind of like a piggyback loan, just without an ARM for the second lien.

If there is a private lender out there, or any referrals that could be made to assist me in this type of transaction, please feel free to DM me or reply to this post with your contact information if feasible. I look forward to potentially working with one of you soon!

Best and safe Regards,

Abel