Lonnie..... - Posted by CTChap


#1

Posted by Dirk Roach on January 09, 1999 at 11:41:58:

Hi CT,
I know that you posted this for Lonnie, but I just had to chime in. :slight_smile:
Anyhow just a quick point. Moving a mobile can be a pain. Not nessicerily unprofitable. However, a price quote of moving a
MH fro between $300 and $600 DOES NOT sound off at all for a single wide mobile home.
Now to get into the cost of TEAR DOWN and SET UP. That is what can kill the plan of moving one.
Lets hit Tear down first.
Before it (the MH) can be moved it must be prepared to be moved. The skirting dispatched, utilities connections physically
disconnected, Axles put on (if they are missing you can sometimes rent them from the mover but it’s more money), wheels
added, etc. Then on an older one, it is usually a good idea to move anything of substantial weight separately. What I’m talking
about are refrigerators and stoves, washer and dryers etc. in a separate truck. Most older homes do not need to be banged
around in route by these heavy items. You could have problems.
In my market (San Diego) a tear down can cost anywhere from 1k to 2k in itself.
Now once the MH is moved to the new park, we have to apply set up, which can a little more expensive. Basely it’s
everything in reverse, but add more money to detail. The skirting in almost every circumstance will not reapply correctly, you
most likely are going to have to purchase a new skirting kit. The utility connections will have to be done by a liscened
contractor (in order to get your permits and okays from the county inspectors) and once the inspectors get out there they start
looking at other thing existing wiring etc. The mobile in CA has to be earthquake braced, not an inexpensive thing to have
done.
Basically your looking at another 1k to 2.5k for set-up.
Now this may not be a problem if you can buy cheap enough. However for the new guy/gal getting into Lonnie deals your
going to run the risk of getting gray hair doing this.
There are so many out there that can stay in the park that you might want to focus on them. Sure a mobile home for a grand
initially may perk your interest. But when you move one your looking at adding a couple of grand and TIME. One which can
stay where it is your looking at better profit and a lot less time and head ache.
Anyhow just some thoughts,
Dirk


#2

Lonnie… - Posted by CTChap

Posted by CTChap on January 09, 1999 at 08:15:07:

Lonnie,

I have my eye on a couple of MH’s, but they need to be moved. One is a 1962 10x50 2/1. Asking for $1000.00, but I think I can offer them less. The other is a 14x64 w/fridge & new water heater. This one needs new carpet. They are asking $2500.00 for it, again I’m going to offer less.

I’ve found a park that will take both of these. From the people I’ve talked to, they want about $300-$600 to move them.

I live in an area with alot of military, so I don’t think I’ll have any problem with buyers.

My question is: Is it worth it to have these moved, and if so, what problems do you forsee with moving these?

Thanks in advance for any input on this.

CTChap


#3

Re: Lonnie… - Posted by lonnie

Posted by lonnie on January 09, 1999 at 18:49:31:

Hi CT,

The other folks here have given you good advice. I don?t see any way you could make a deal out of the 10 wide. Even if you got it for free, the move/reset would cost more than the home is worth. I suspect that $300-$600 figure is just to break it down and drop it on another lot. So make sure you get everything itemized and no unpleasant surprises, if and when you ever move one. I crank in at least $2,000 anytime I move one. If it?s got central AC, add another $300-$400. If the mover has to install wheels and axles, that?s additional cost.

The 14 wide could be a possible deal. I say could, because it would depend on age, condition, move/reset cost etc. And you have to have a good idea what you can sell it for.

My daughter is presently buying a 1983 14 x 60, to go in her park, from a dealer. The cost of the MH is $1,500, and the dealer will block, anchor and hook up water/sewer lines for $800. The electric hookup will be $300, and another $500-$600 for painting the outside and new skirting. The home should sell for $7,500-$8,500. This should give you some idea of what to look at when buying one to move.

For your first few deals at least, I recommend finding one?s that can stay on the lot. Get some experience before you get into moving them. And be sure you add up all the costs before you do.

You might consider trying to find a buyer for these two and sell “As Is -Where Is”. Might be someone that needs a hunting shack, or a storage unit.

Good luck,


#4

Another thing to keep in mind - Posted by Jason-DTX

Posted by Jason-DTX on January 09, 1999 at 15:53:33:

David Alexander moved a mobile once and the whole thing fell apart and became a useless pile of trash.
We looked at another one once and there was a 3 inch water stain all around the bottom of the trailer. It had been flooded and had to be moved - We passed on that deal. Even when you get to the point were you can still make money by moving one, you are still taking a chance that it will stay in one piece during the move, especially with the older ones.
Jason


#5

Re: Lonnie… - Posted by Doris - Va.

Posted by Doris - Va. on January 09, 1999 at 12:29:51:

Hi CTChap -

I agree completely with Tim and Dirk. You don’t
want to be moving them - especially if they are
older and maybe not as structurally sound as they
once were.

A tip from Lonnie’s book is don’t buy 10 wides as
the age is a big turnoff and the buyer looks at the
space and figures he will never fit his furniture
in it. You can rent them 0k but selling them is
not easy.

Now for the WORST! Many of the nicer parks around
here have sent out notices that as of 1999 any 10
wide or 12 wide that is sold must be moved from the
park. This is how better parks make room for newer
models and are able to offer spaces to dealers
looking to place new homes. Also nothing less than
14 wides are accepted into the park. The standard
size for new mobile homes today is 16 wide by 80
long.

This means that Lonnie’s criteria for finding homes
and paying $1/5 k has now jumped up to $5/10 k. Of
course older not so nice parks will still have
deals on 12 wides etc. but it sure puts a crimp on
the low price deals in many of the parks that we
want to do business with.

Hope you find some good deals without moving them
and good luck.

Doris -Va


#6

Re: Lonnie… - Posted by Tim (OH)

Posted by Tim (OH) on January 09, 1999 at 11:48:01:

CT, Dirk would know what he’s talking about and I believe if you review Lonnie’s material he will also tell you that, althought moving mobile homes can be a profitable venture, you should get some experience and MONEY under your belt before attempting this end of the business.
Good luck.
Tim