advice for newbie - Posted by deland cochran

import · May 27, 2003, 9:28pm

Posted by Tim on August 13, 2003 at 18:53:28:

I don’t actually hold the auction, I just attend. You can get all the info from the website listed on the other post (seauction.com, I think).

import · May 27, 2003, 9:28pm

Posted by deland cochran on May 27, 2003 at 21:28:45:

i’m a newbie who has focused on single family homes, but occasionaly draw calls on manufactured homes. i don’t have any expeience with these, but i know that you guys are very knowledgable and would steer me in the right direction.
here are the details. seller has a 2001 2/1 in good shape. has central heat and air, refrigerator, range and dishwasher. she bought it for 26,000 new, owes 24,000. payments are 309.00 at 11%. lot rent is 225.00. she is willing to sell for what she owes if i will take over her payments.
she lived in the home while she was single. she got married and now she and her husband are living in a house making 2 payments. her husband is having to work a 2nd job to make the extra payments.
i have the park managers name number to see what their rules about ownership and rentals are. i would think that my exit would be to get a small amount down and raise the 309 by some amount to have some cash flow. sort of like a lease option on a single family home.
like i said before, i have no idea how this sounds to you guys. please feel free to offer me your advice on how i should handle this.

thanks in advance

deland

import · May 28, 2003, 7:31pm

Re: advice for newbie - Posted by Tim

Posted by Tim on May 28, 2003 at 19:31:46:

I went to a repo auction today, there were 2 2001 models. Both were in good shape & were 3 bedroom 2 bath. The 16x76 Fleetwood went for $7750, the 28x56 Redman went for 10,000.

import · May 28, 2003, 12:36pm

if seller gives you $14,000… - Posted by Anne_ND

Posted by Anne_ND on May 28, 2003 at 12:36:22:

…then it will be a good deal for you. There’s no harm in asking. Why make their big mistake your big mistake? If explained properly they might even see it your way.

good luck,
Anne

import · May 28, 2003, 7:27am

Re: advice for newbie - Posted by ScottS(NC)

Posted by ScottS(NC) on May 28, 2003 at 07:27:34:

Deland,

Don’t walk RUN from this deal. These newer mobiles are Upside down so bad I have yet to hear of a way to make this situation work. You must remember unlike houses mobiles depreciate for the first 10-20 years of there life. Their are tons of people who just want someone to take over payments and get them out of a depreciating asset. Take Care ScottS(NC)

import · May 29, 2003, 8:22am

Details on your Repo Auction, Please - Posted by PeteH(NYS)

Posted by PeteH(NYS) on May 29, 2003 at 08:22:58:

Hi Tim…

I’m in the market for a couple well-priced late-model repos. Where was this auction you went to?

Peter

import · May 28, 2003, 3:11pm

Re: if seller gives you $14,000… - Posted by deland

Posted by deland on May 28, 2003 at 15:11:47:

thanks Anne. i do have to call the seller back so i will ask just for laughs and see what they say.
Let’s just say they did pay me 14,000. what would be your strategy then?
thanks again
deland

import · May 28, 2003, 3:03pm

Re: advice for newbie - Posted by deland cochran

Posted by deland cochran on May 28, 2003 at 15:03:26:

Scott- thanks for the tip. as i said before, i’m not at all familiar with this kind of deal. since i posted last night, i’ve been reading articles by Lonnie and searched the archives for park managers just to brush up on what i should know. i noticed that most of Lonnie’s examples had prices for older homes that were much lower than what i was looking at.
i have learned that no deal is better than a bad deal, so again i say thank you for steering me away from trouble on this one.

regards

deland

import · May 29, 2003, 7:05pm

Re: Details on your Repo Auction, Please - Posted by Tim

Posted by Tim on May 29, 2003 at 19:05:31:

The auction was in Opelika, Alabama & was held by a company called SouthEast Auctions (seauction.com). The trailers were repos, most still had the conseco paper taped to the window. People I talked to said that the last auction held there had prices that were about 25% higher. Evidently the crowd mix determines the price, more retail buyers means higher prices. Most of the homes were 1998-2000 models & ranged in price from $2750 up to $10,000.

import · May 28, 2003, 9:34pm

Re: if seller gives you $14,000… - Posted by Anne_ND

Posted by Anne_ND on May 28, 2003 at 21:34:47:

If the seller gave me $14,000 and let me assume the payments I would get a buyer in there to cover lot rent, utils and mortgage plus $100/mo (more if you could get it). If you know your market you’ll know better how likely it is for you to get someone paying that much for a TWO bedroom, no matter how nice it is.

I have been able to sell houses for good prices (for instance, I just sold a 1982 today for $11,500) because of the financing and because I put work into them to make them nice and safe. But I have longer holding costs than I’d like so now I’m targeting cheaper houses (cheaper selling prices that is).

I can’t really give advice on your market, but I suggest you do some research to help you with this if the seller does give you $14,000.

good luck!

Anne

import · August 13, 2003, 3:57pm

Re: Details on your Repo Auction, Please - Posted by THOMAS KING

Posted by THOMAS KING on August 13, 2003 at 15:57:11:

COULD YOU TELL ME WHEN YOUR NEXT REPO AUCTION IS AND HOW OFTEN DO YOU HAVE THEM. AND HOW CAN I GET A LIST OF WHAT IS GOING TO BE THERE AS FAR AS TRAVEL TRAILORS AND FIFTHWHELL TRAILORS