Help with my first deal!
Hey BP Family,
So I've found my first deal in the Long Beach area that I think would work great as a AirBnb property. I haven't physically seen it yet because I live in North Carolina, but I've visited the area within the last 2 weeks. I've talked to a lender and they are willing to finance for up to 80% at a 4-6% rate amortized over 30 years and the owner is willing to carry for an additional 10% with an interest rate of 6% for the first year, 8% after that and balloon in 3 years. I plan on refinancing into a traditional mortgage by the third year to cash everyone out and bring down the payments. My question is what are some creative ways to come up with the remaining $20K or so? I really don't want this deal to slip through my fingers because it's in such a good area, but financially I don't have the resources to be able to make the down payment.
Does anyone have any tips, warnings, or know of an alternative way that I could structure it?
Thanks for any help!