A skeptic on board… get rich yea right!! - Posted by Cody
Posted by Cody on April 09, 2007 at 01:13:05:
I read the three books on buying and selling mobile
homes. In summary I learned you can make tons of
money, earning 75% to 100% return on your money,
become financial free, quit your job, get a check in
the mailbox every day, you know the routine.
Well based on the numbers this would be excellent
part time income generator. Doing this full time
I have my doubts you will ever go beyond a five figure
income. Decent income yes, very high income doubtfull.
I will run the numbers and prove it to you. Assume
you purchase a mobile home for $5,000 and sell it
for 10,000. You take $1,000 down and finance $9,000.00
for 36 months at 12%. Your return would be $299.00
X 36 = $10,764 minus an estimated overhead of 25%
or $2,691.00 minus your initial $4000.00
= $4,073.00 net.
I estimated overhead at 25%, which would include
liability insurance, evictions, damages and repairs
to mobile home you take back, lot rents you have to
pay the pm, your car expenses, advertising and
the interest 7% on your borrowed $4,000 to fund the
(If you full time mobile home guys dispute this expense
I would love to see what you put down on your
IRS tax returns)
If you did 18 deals per year you would make
$4,073 X 18 = $73,314. However after the second
year with 36 mobile home contracts or third year
of 54 contracts to maintain the $73,314 year income,
the move outs, evictions, slow pay, and host of
other problems due to the nature of this business
would be more than a full time job and would limit
your ability to increae your earnings.
If you can show figures otherwise I would be
happy to hear about them.
I really doubt this mobile home investing will
make you financial free, good part time business
yes, full time no.
Run the numbers before you quit college and
become a full time mobile home dealer.