2city lots with mobiles - Posted by Dee-Texas

Posted by Dee-Texas on November 27, 2000 at 16:46:48:

Thanks Skip,
That’s really thinking outside of the box for me. Your way over my head with that. Where can I get some information on what it takes to do a deal like that.
Thanks for the information.

2city lots with mobiles - Posted by Dee-Texas

Posted by Dee-Texas on November 22, 2000 at 07:48:45:

Hello all and happy thanksgiving.
I found a FSBO that had two lots side by side with a 1992 3/2, nice, doesn’t have central air, needs just clean up. The other is a 1969 2/1 belonged to her grandmother, it needs some windows fixed, paneling, it has CH&A but haven’t checked it out yet. It’s in a nice neighborhood, they haven’t lived in it for the last 6 months. The lots need quite a bit of clean up. It does have 4 storage units on the two lots. No back taxes. This is seen as real property.
The lots cost 3K in this part of town empty. One nice mobile and the other needs work. She’s asking $15,900.00 for the combined lots and mobile homes. She’s remarried and doesn’t want the hassel of renting them.
We’ve talked and she will take $13,500 for them but I need advice.
That breaks down to each home and each lot approx. $3400.00. Is this a good deal? I think that the good mobile can give me the extra money to fix the other…
After my mobile from He!!, I’m leary…
BTW the mobile home park that I have been working on is a no go…Woman isn’t as motivated as SHE thought. Still hanging on to her price…

Need more info… - Posted by JHyre in Ohio

Posted by JHyre in Ohio on November 26, 2000 at 11:36:42:

You’ve given us the cost…but not the juice. What are lot rents in your area? What would the homes sell for on Lonnie-style notes? How much in the way of repairs is needed? Are the lots zoned residential with the homes grandfathered, or are they zoned for MH’s (i.e.- could you substitute other MH’s for the existing ones if need be?).

In my market I’d jump on that deal, assuming that I could get the right zoning or a variance.

John Hyre

Re: 2city lots with mobiles - Posted by BillW.

Posted by BillW. on November 22, 2000 at 19:58:05:

This deal looks too thin to me. Seller seems to be asking too much. What do you think you could resell them for and can you get all your cash back to move to the next deal?

Need more ideas…when to hold and when to fold. - Posted by Dee-Texas

Posted by Dee-Texas on November 26, 2000 at 12:29:41:

This is zoned grandfathered for mobile homes. It’s in a residental area in the older part of town. You can move these homes off and put more on, but if you ever put a real home, then the grandfathering is over. Mostly lower income blue collar workers. Lot rent here is $100-$125 with water and garbage. The new home would sell Lonnie to Me for about $4-5K here. The older one needs works, possible a new CA&H for $2K here.
Selling them on rent-to-own the newer one would sell for $9-12K, this one doesn’t have central air, but is in pristine condition. The older one needs lots of work and it’s only a 2BR and I think the CH&A is trashed, it’s worth fixing but I won’t see as much from it. I’ll need to fix it up to get any quality in people in this home.
There are three storage buildings in the back of the lots and an old home l bedroom with the ceiling falling down, etc. that would be a lot of work to tear down…This one is overwhelming me. I think I’ll let it pass for the money. If I could get both lots and mobiles for say $8-$9K, I would do it, but…to much work and probably some holding time…She’s been offered $10K and wouldn’t take it.

Re: 2city lots with mobiles - Posted by Dee-Texas

Posted by Dee-Texas on November 22, 2000 at 20:43:11:

Thanks Bill for posting. I can sell each lot for about double with holding the note. Around here most mobiles are on lots. I had one to sell in a park and everyone that called wanted it on a lot so that they could have a pet or just their own space home. I think that with the lower payments compared to house and apartment rent, I could sell them.
But…I was just wondering if anyone had done this?
I wouldn’t be getting all of my cash out, just the downpayment and spread…In many of my SFH, I look for long term cash flow…Mobiles are new to me, since I only have one now.

Re: Need more ideas… - Posted by Skip (CA)

Posted by Skip (CA) on November 27, 2000 at 14:33:32:

Have you got, or could you get, a discounted mortgage to trade her for the lots? She’d be getting income and the face value of the note (mortgage) would probably be more than the 10k she’s been offered and has refused. Just a thought.