Down Payment On Commerical Properties

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I found several deals on 20-35 unit apt buildings for sale. I have excellent credit score and the banks of course will fund me up to 80%. However I have no assets and very little funding for the downpayment of 20%. All sellers will not do owner financing. Depending on which deal I will pick, what can I do to come up with the downpayment?? Open to all suggestions.

Comments(4)

  • shasta92542nd September, 2005

    this transaction is not offered thru your financeir, but thru the seller. you should do more research on this, i just heard about this the other day. im sure people in this forum have either done a transaction this way or heard about someone who has.

  • sanjosee2nd September, 2005

    You may want to consider bringing in a partner.
    Owners are one of the best resources for creative financing.
    If they are not interested , you have to bring in some hard dollars to make the deal happen. Trying to use other creative means for downpayment that can be viewed as higher risk for default in the eyes of the primary lender will be frowned upon

  • commercialking2nd September, 2005

    So do the deals make sense otherwise? Whats the cap rate? If the deal is good enough there are a variety of ways to finesse the downpayment issue. But to start you have to buy at 20-30% under "retail".

  • cmiller99866th September, 2005

    CommKing - questions on flipping while in contract:
    - how do you locate an investor in the short timing of a contract? (even good properties take months sometimes when properly advertised)
    - how can you show the inside of the property (possibly multiple times) without being the owner

    thanks in advance

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