First Deal Goes Bust... - Posted by Walker (Central Cal)

Posted by Walker (Central Cal) on February 15, 2001 at 15:22:53:

…what kind of paperwork is involved?

How do I “buy back the contract”?

Thanks for your help.

Walker (Central Cal)

First Deal Goes Bust… - Posted by Walker (Central Cal)

Posted by Walker (Central Cal) on February 13, 2001 at 15:50:58:

After 2 weeks buyer says “deal is off”. She says she wants out because I can’t sell her a MH without providing the title. Of course, she’s wrong. I’ve already talked to the state and got all the paperwork necessary.

Anyway I think she is just using this as an excuse. We settled 2 weeks ago and she never moved in or paid the lot rent or got the insurance.

Here is my question:

Since the deal is off what needs to be done?
Should I keep the $500 down payment?
Have her file a Quit Claim Deed?

Certainly the easiest thing would be to destroy all the paperwork and return her $500 and just start over.

I could really use some advice here.

Walker (Central Cal)

Please Read - Posted by David S

Posted by David S on February 20, 2001 at 15:52:24:

Walker,

Whatever you decide to do, make sure you have her sign a separate AFFIDAVIT stating that she is satisfied with the outcome, that she has been refunded ALL of her money and forever waives any/all future rights, if any, in the mobile home.

CYA

David S

Lessons learned; If it were me, - Posted by Dirk Roach

Posted by Dirk Roach on February 14, 2001 at 16:38:45:

I would most likely give her back her deposit. And move on.
That’s one reason I personally don’t like taking deposits and such. I have found that most often you wind up jumping through a bunch of hoops for the person and like in your situation it turns out to be a crap shoot as to whether everything actually works out.
See there is just so many variables.
a.) Can you find a home. Suddenly you find yourself looking for a home, instead of a deal!
b.) Can you work with Park? Would you want to? Can you buyer get approved?
c.) Is all this an efficient use of your time?

Let’s see, in your above scenario you have just taken a $500.00 course in what not to do. Believe me, it could have been a lot more expensive! Trust me, I’ve had a few of those courses myself.
Even if you were to have keep the $500.00 what are you really keeping?
Let’s say that in these past two weeks you put in 40 hours a week, combing through the newspaper, calming the boss (the woman you were working for, looking for the home) down on the phone, trying to talk new parks into what a great guy you are and your plan, etc. So you have worked two weeks, forty hours a week, divided by $500.00 So in the end basically it’s like this. You have been fired by your boss after two weeks, don’t expect a referral, (because the boss isn’t happy) from a $6.30/per hour job.
Wow, now I bet that wasn’t in the plan when we read Lonnie’s books.
However like I said now you know how to do things the hard way. Consider it a cheap lesson at $500.00.
Okay so how could we have been better utilizing those two weeks?
LOOKING FOR DEALS/ MOTIVATED SELLERS AND/OR OPPROTUNITY THAT WORKS.
Hit those parks, go door to door if you have to, talk to people, ask people who live in the park, “Who is selleing their home?” or better yet, "Who NEEDS to sell their home?"
Personally I like going on the weekend to garage sales, in the Parks. Folks are home, and relaxed and it’s great time to shoot the breeze with them and find out as much info as possible.
Anyhow Walker, I’m not coming down on you, but I thought your post would be a great opportunity for newbies to learn from the lessons, you and I have learned from.
Good luck, and keep your chin up, the deals are out there; Now is when you are just tweaking the machine in finding them.
Good luck and keep up the fight,
Dirk

Re: Lessons learned; If it were me, - Posted by Walker (Central Cal)

Posted by Walker (Central Cal) on February 14, 2001 at 20:31:12:

Hi Dirk,

I always enjoy your replies. You share alot of useful info but I think you misunderstood.

The $500 is not a “deposit” it is a “down payment”. She bought the MH. She signed the promissory note and purchase agreement. She is now the owner (on paper).

I’m thinking of returning her down payment less the expenses I’ll incur by her breaking our contract. ie:30 days lot rent, 30 days advertising costs in order to find a new buyer, and anything else I can think of.

These are expenses I would not have been faced with had she honored the contract.

Walker (Central Cal)

Okay Open Mouth insert foot - Posted by Dirk Roach

Posted by Dirk Roach on February 15, 2001 at 11:24:28:

Hey what can I say, my mistake. Man I’m going in about twenty different directions right now, and have a killer springtime cold to boot.
I’m sorry Walker, my mistake.
However I did have this happen once also.
Only mine had been in there a month and half. And she had put down 3k.
I think we bought back her contract for 2.3k or some such. Anyhow it was a lot easier than a big thing. Anyhow She did clean the place up some, and did some additional fix-up that I was letting the buyers do.
However she also did some pretty crazy painting. The Mobile home had a crazy purple and teal motif going on when I got it back.
However the new owners seemed to like it, and even added some of their own colors to it. Go figure, it’s CA, I guess.
Anyhow again Walker, sorry about that. I got on a rant I suppose because I have had a lot of folks lately do the whole deposit thing and it always winds up being a mess, and that’s when they email me.

But Yes I would do just what you are doing. Good Thinking and Good plan, and just sell that sucker again.
Dirk