1st Mobile home deal…please advise newbie - Posted by Lori
Posted by Lori on March 17, 1999 at 13:49:48:
I am in WA and I have run across an owner of a mobile home park that is getting rid of his 80 rental trailers and selling them all. His offer for each is as follows: $400 down, then $45(trailer) + $220 (lot rental) + $62.50 (w/s/g) for a total of $327.50/mo. The contract is for 7.5 years at the end of which the trailer is mine. Taxes extra, from 88-200/yr.
I would love to snatch them all up and lease option them out but don’t have any cash. I was thinking of using an Intent to Purchase tying up one or two properties at a time. Then L/O each out for $1000 down, $145 (trailer rent per month) + 282.50 (park costs) for the full 7.5 years. At the end of which they are able to buy the trailer for $1.
The park owner just wants to keep the lots rented, as you can see. The park has a little store and laundromat, new paved roads and wells. Our county has about 37% manufactured housing, and trailers in the same park are renting from $350 and up.
I have some concerns such as:
Can I make a deal with the new buyer that they pay me for the trailer and the park for the lot or, should I handle all the receiving and handing out of the lot fees?
Am I being fair in my asking price for the L/O?
My husband and I are wanting to get into RE investing and I think this may be the way to get started. But, honestly I am scared to death and my brain is overloading trying to find out all I can and put it into practice.
Could someone please offer me some suggestions that would keep me and the seller both happy.
Thank you in advance,
PS. Does anyone know of where I can get an Intent to Puchase off the net or for very little cash?