Posted by jp(sc) on April 03, 2006 at 21:19:36:
Nope. I told them I didn’t want to have a retail location or lot at all.
Is the a viable way… - Posted by Chris
Posted by Chris on March 30, 2006 at 19:37:00:
to get around the licensing issues by not even buying the mobile?
I’m still new to MH’s but I am really getting into this. I’ve done 2 deals in the last month. This state has strict rules on buying and selling without a license.
Would it be worth trying to negotiate the lowest possible price… getting an option on it or an assignable contract… finding a buyer for it… using the buyers down payment along with my cash to purchase the property for the new buyer and creating a note with the new buyer? Therefore the seller gets his money, buyer gets the property, my name never hits the paperwork other than now I have created a note and get payments…
Is this another way to structure this?
OR
Buy it but leave the name that is buying it blank until I locate a new buyer and at that time entering in the buyers name and walking with a newly created note?
Re: Is the a viable way… - Posted by JohnP
Posted by JohnP on April 02, 2006 at 20:45:41:
Hi Chris, are you in florida? If so, I am a licensed dealer and would like to speak with you to see if we could work something out. Send me an email.
JohnP
Re: Is the a viable way… - Posted by Heath Girod
Posted by Heath Girod on March 31, 2006 at 08:19:28:
Sound like you are putting in alot of effort to head the wrong way. Why spend so much effort on starting out on shaky ground, too scary for me to think about loosing it all and knowing that I knew better in the first place. Let the BOYS find that taxes have not been paid on the sale of the MH’s and you might take an early vacation. The license is nothing more than a way for taxes to be accounted for and tracked, are you asking if you can fool the system, YES. Will you get caught with your pants down, You gamble on that one!
My second thought would be if this is how you are starting out, how will you finish?
Do it right the first time, there is a diffrence in not knowing and knowing better.
Heath
Re: Is the a viable way… - Posted by Ryan (NC)
Posted by Ryan (NC) on March 31, 2006 at 08:07:50:
Chris,
Overcoming obstacles is what separates the folks that will work for someone else for the rest of their life and the ones that gain financial independence. It all falls back to the saying “Do for five years what others won’t and you’ll be able to do what others can’t for the rest of your life!”
IMO I like the first idea the best but it’s not going to suit most sellers, I think that trying to get to creative or skipping title will just lead to trouble down the road! The inspectors and code enforcers are not creative folks to say the least…
There are mainstream ways to increase your portfolio with out getting overly creative. Talk to the person in charge of enforcing the laws as Marty suggested, explain what you’d like to do as a “private investor” and see what they say. If you don’t like the answer, lease options are a legal way to delay the sale and transfer of title a few years (and the dealer requirements in most states) to make it worth the time and effort to become a dealer. If that don’t work piggyback with a dealer or become a true landlord. (Yes, it takes some effort to find the right park to do it on someone else’s land) This will allow you to keep growing even though it may be more of a hassle at times.
Just don’t let this be a roadblock, find a way and make it happen 
Best wishes,
Ryan Needler
Re: Is the a viable way… - Posted by Chris
Posted by Chris on March 30, 2006 at 21:57:08:
My state requires you to have a designated office bldg with enough room to store a mobile. I’m not a big fish yet and can’t afford this. I was hoping to generate enough cashflow to afford the building and go the legal route. Any other thoughts on how to accomplish this goal?
Re: Is the a viable way… - Posted by Sailor
Posted by Sailor on March 30, 2006 at 20:40:08:
Why not do it the legal way? Yeah, it can be a pain, but doing it the other way can be a much bigger one–
Tye
Re: Is the a viable way… - Posted by Marty (MO)
Posted by Marty (MO) on March 30, 2006 at 22:58:56:
talk to the bureaucrats at the state level and explain what you do… when they hear that you’re selling them in place, not moving them, using this as an ivestment vehicle, etc, they’ll probably be able to come up with something simple and reasonably (by govt standards)logical.
there’s almost always one person in the office who can tell you how to get things done.
Re: Is the a viable way… - Posted by Bill (in GA)
Posted by Bill (in GA) on March 30, 2006 at 22:46:15:
Egad! Licensure is much simpler in GA.
Out of curiosity, what is your state?
- Bill
Re: Is the a viable way… - Posted by osupsycho (OK)
Posted by osupsycho (OK) on March 31, 2006 at 08:09:26:
Well Tye depending on where he is and what the requirements are it may not be that easy. For me to get fully legal it would require around $75K. It really sucks that my state does not allow someone to buy even ONE mobile home if they are intending to sell it for a profit. If you do that then you are a dealer and you must get a dealers license which requires:
A gravel lot with enough room to show and store homes.
A permanent office with a public restroom and locked storage area for files.
Permanent signage visible from road.
Regularly staffed office hours.
Insurance, bonding, fees…
Nice isn’t it…
Jad
Re: Is the a viable way… - Posted by osupsycho (OK)
Posted by osupsycho (OK) on March 31, 2006 at 08:04:13:
Well not always… I was told that the best policy was don’t ask, don’t tell. So…
Of course this state is so backwards that we can’t even get a legal tatoo and the beer is only 3.2!
Tag onto somneone else. - Posted by roundhouse
Posted by roundhouse on April 01, 2006 at 11:29:59:
Ga is like this for used cars, (I only want the used car liscense so I can get into the good “dealer only” auctions, but I found a guy with a body shop that will let me hang out a shingle and use his rest room.
Re: Is the a viable way… - Posted by Sailor
Posted by Sailor on March 31, 2006 at 13:19:03:
It may not be easy, Jad, but ignoring the system altogether could have severe consequences. I fear that in strict states, the penalties are equally ominous. I do think there are probably ways to structure deals & time then so as not to run afoul of legal restraints. An affiliation w/a dealer may be a way to work w/in the system. I do not know if L/O or the sale of options alone would constitute a black or gray area. I’d want to know how others are working in your state–
Tye
Re: Is the a viable way… - Posted by Marty (MO)
Posted by Marty (MO) on April 03, 2006 at 15:49:34:
Hiya Jad!
I absolutely agree with you- I’d prefer not to be wrapped up in the bureacratic red tape… but… if we can figure out how to navigate through it, we have a leg up on all the people who can’t figure it out. The best way I’ve seen to get through the maze is to enlist an ally.
Dang, you okies are a mess- I think I’m gonna have a beer and think about how you allowed them revenooers to take away your decent beer… next, you’ll tell me you have to pay sales tax on used trailers!
Marty
thats why - Posted by Steve-WA
Posted by Steve-WA on March 31, 2006 at 19:32:03:
thats why people in FL do this by Lease Option
Re: Tag onto somneone else. - Posted by osupsycho (OK)
Posted by osupsycho (OK) on April 01, 2006 at 21:41:16:
That would be nice but it is not allowed. To be a dealer in my state you have to have your own building with no other businesses or residences being housed in the same office.
Re: Is the a viable way… - Posted by Tommy
Posted by Tommy on March 31, 2006 at 23:46:31:
It seems that in states like Florida, there must have been a lot of lobbyist (probably large mobile home dealers) pressuring state officials to make it tough for the small investor to get a license, presumably to reduce competition in their market. The toughest requirement of getting a license is the building and land, which of course any large dealer would already have… go figure. I wonder if small investors could lobby to get the requirements reduced using the argument that it hurts small business, which is the life blood of the economy.
Re: Tag onto somneone else. - Posted by jp(sc)
Posted by jp(sc) on April 03, 2006 at 08:15:44:
It is similar in my state also. So, I just asked the governing body nicely and they made an exception for me.
Re: Tag onto somneone else. - Posted by Chris
Posted by Chris on April 02, 2006 at 10:46:31:
That is how it is here also.