Forced removal of home by PM - Posted by DaveB

Posted by Tony-VA/NC on October 17, 2003 at 09:58:03:

Dave,

This is not a slight against you, merely constructive criticism about how you have begun your business practices. Tough love type wording is not easy to take at times but if you are interested in succeeding in this business, I hope you will take it as intended.

Addressing these problems first may well prevent future occurrances, although it may not save your current deal.

The first lesson we learn (and read repeated here time and time again) is that the park manager is the key to our success in the lonnie deal business. We find deals before others because of good working relationships with park managers. We work along side park managers to get bad tenants out.

Notice the common theme here is “we work with the park manager.”

From your post, the pm is playing hard ball but you may have set that play in motion.

  1. You mention that the PM never notified you that your buyer had not paid lot rent in 4 months. This leads me to believe you have not been stopping by his office very often.

  2. You admit the exterior of the home looks bad. How do you think this makes the park look? How do you think this reflects upon the PM’s performance when viewed by the owner and other tenants?

  3. Worst of all, you admit you intentionally lied to the park manager to get into the park. No one likes being lied to, deceived or manipulated. You did just that and now expect this pm to work with you?

“You reap what you sow,” is quite applicable in this case. You lied to better yourself and perhaps the PM is now doing the same. Tit for Tat.

Yes it sucks but could this not have been different if you business practices were more honest, straight forward and win/win? I think so.

You violated a number of Lonnie’s practices as outlined in his books. Those practices are not theory. They are tried and proven by him and us.

This is not to say that even good business practices will save you from a bad park manager. But in most cases, good business practices will signal you when you are dealing with a bad park manager.

If you establish good, close working relationships with people, then it is hard for them to cut you or be rude. But if you show up once in a while, lie to them, and leave their park with ugly homes…they have little love to lose.

Dave, try working with people to win/win conclusions. That way you won’t have to wait for the second shoe to drop on you. Be active in your business so that you are not caught off guard.

Your experiences have proven that these deals can be done in your area. Unless you work with the park managers, you will limit your busines opportunity. Follow Lonnie’s books and I feel confident your business will thrive.

Best Wishes,

Tony

Forced removal of home by PM - Posted by DaveB

Posted by DaveB on October 17, 2003 at 04:48:25:

Hello all,

I did a nice Lonnie deal, 7K purchase, 2K down and note for 12K@18.9%. 1983 14X60 with a new roof.

One problem. They stopped paying. It didn’t take long to get them out, but they also stopped paying the PM four months ago. When I took the home back, the PM wanted all the back lot rent. I explained that when I sold it I explained that if they get behind in lot rent I need to be informed. Since I was never informed I felt that I really shouldn’t be responsible for the back lot rent, but I have no problem paying it until it’s resold. He said he lost my phone number and that’s why he didn’t call.

This was my fourth deal and I was nervous when I bought the home so I originally told him I was moving into the home and a week later sold it. He of course brought that up as well.

He is now saying he wants the home removed since:
I wasn’t up front with him when I bought it
The home is not in the greatest condition on the exterior.
I am unwilling to pay the back lot rent.
The guy who lived there prior to me buying it died in the home(is that the home’s fault I ask?).

I’m in NY and would love to find a way to not remove the home.

Thanks

Re: Forced removal of home by PM - Posted by BIGjoe

Posted by BIGjoe on October 17, 2003 at 23:00:32:

You lie to the park manager. The home does not look good on the outside and you refuse to pay the back lot rent. What the heck do you want him to say. “oh, no problem I will play by your rules, you tell me what I’m going to do”. Get real. The guy is running a business. If you dont pay the back rent you move the home out. How much will that cost? I bet offering from the begining to pay the rent would have went far with this pm. Keep this in mind. If you dont own the park you must kiss rear on occasion. You owe the manger he does not owe you.
Good luck getting out of this mess.
Joe

I hate when I can’t put all the… - Posted by Greg Meade

Posted by Greg Meade on October 17, 2003 at 21:00:32:

blame on the PM, don’t you? Sounds like some mistakes were made on both sides but it just doesn’t do any good to beat the problem to death, rather look for some simple solutions to complex probs. One that comes to mind is a great idea i heard here; collect lot rent with your payment and you write a check to pm until paid! PMs love this Dave.
A fellow investor Ken S(WV) called me and did give me some very good perspective on a problem i am having with a siezed home. He posted about a similiar situation with pm not getting bid so told Ken to move home (which they have the perfect right to do). The problem was ,Ken already had the unit sold for a great profit but omly if home stayed. The park was cool and it added intrinsic value to the deal. To make this short, he split his profit by 25% and gave pm 6k (ouch) but still put 3+ times that in his own pocket!
If the excellent advise below doesn’t work, why not be truly honest with pm and offer him the 2k down you will recieve when you re-sell? You will spend mucho more than that to rehab,dismantle,tote,reset,permit,etc. and this should show pm that you are contrite. If you aren’t contrite, this will put you well on the road to being so! Nothing like giving up money is there? I feel for you Dave,but this can be a real valuable lesson if taken the right way…it’s hard to be humble, i have had some real practice lately and ia m sorry to say your turn next. An idea is to take pm away from park(breakfast,lunch, ball game) when broaching the subject and try to be just the 2 of you. Good Luck, please post and tell us how you do!My last bit is try and spend as much $ and time on exterior of home. The pms i deal with could care less what the inside looks lik, but they just love fresh paint,presure washed driveways and walkways, and some pruned trees and bushes!
Greg

Re: Forced removal of home by PM - Posted by Philip

Posted by Philip on October 17, 2003 at 16:11:42:

Sitting in a PM’s mobile while his sheltie jumps repeatedly in and then out of my lap was not a fun time. That is what I did for 2 hours when I went to talk to my first PM. This was AFTER he told me NO!, I couldn’t deal in his park. I had been very upfront about everything and still got a resounding NO!

But…the man spent 2 hours teaching me things, and then told me about 2 parks and their owners names. I did my first deal in one of those parks.

It was the honesty and the RAPPORT and just a little b.s.

I asked him months later and still got a NO. But he said if I ever need advice to come by.

You have probably done more deals than me. But I do know that rapport with folks is important. I stood in another PM’s home this morning and asked about a mh and also teased her granddaughter that was about 3.

It is just being nice, up front, and even just letting folks talk about themselves.

I would pay that back rent plus $100.00, fix the exterior, and then see if my mobile could stay!

And never fudge on anything again.

Philip

Re: Forced removal of home by PM - Posted by mark k

Posted by mark k on October 17, 2003 at 10:47:05:

What a learning lesson! Apologize to the park manager and offer to pay off the 4 months back rent and be allowed stay in the park. You may want to explain your a little new to MH financing and made a stupid mistake. Then a week later send him a thankyou letter and a gift certificate to a nice resteraunt. In the mean time find another park in case this does not work.