How to Buy an Apartment with No Money Down

I know, this headline might sound completely absurd to you. Or maybe it's just what the doctor ordered, but hear me out.

A client came to us several months ago and said he had cash flow but no cash to put down, and he wanted a good investment. Most people would have told him to come back when he has saved enough. That's not how we do things at Blooming Sky.

What many people don't know is that if you come up with a good investment opportunity, many other people are often willing to jump on the opportunity as well. Our client wasn't sure if simply having positive cash flow from a job was enough, but we showed him that there was a way.

By talking about his apartment as an investment, our client was able to seek an investor. The deal was structured so that the investor would put down 20% of the down payment, while our client offered up his credit and cash flow to carry the mortgage. His intent is to live in the property for at least two years. After that time period, when he sells, he will be eligible for up to $250,000 in capital gains without taxes because it was his primary residence. He will split the profit with the investor.

A member of our brokerage concierge helped our client find the right deal to bring back to his investor. It took a few months to find the right deal but when he did, he struck like lighting. A member of our brokerage concierge helped our client find a property that was trading nearly $150,000 below comps in the area, helped him get pre-qualified and structured the deal.

Real estate can be a time consuming and intimidating process, but don't let the threat of not having cash on hand for a down payment intimidate you. Maybe you're on the flip side of the equation where you have cash but don't have the cash flow to finance a deal. Well, then you have the opportunity to find someone with steady cash flow and invest with them.

I hope this provides some food for thought going into the weekend. If you have any additional questions regarding how to structure a deal like this, contact us at