My first Lonnie deal was on a one bed room MH. However I have never had any one ask for, or had a customer that was looking for a one BR home. I would suggest you avoid them, unless the deal is too good to pass up. My first one was purchased for $500 and sold for $4500, $500 down $100 mo. for 48 Months. Total coat after fixup about $2100. This was two years ago in Feb, Those $100 checks have never been late. I posted a success story at that time , “How I pruchased A Mobile Home for $500” May still be posted?
As for pricing people don’t fuss about price! If you give them the terms they can’t get anywhere form a bank, total price is not that importaint. Monthly payments are the key. We do fix the homes up to an acceptable level. This may mean new carpet, etc. Don’t go overbaoard! In Ohio we are getting $6K to $8K for early 70’s models. Around $13,900 for low to mid 80’s. I started a friend, in my town into Lonnie deals about a year ago, he has now done about 10 deals, at about $1K to $2K higher than I had been getting, I have been Uping my prices a little over time. Just try one, and see. Watch about creating too much competition for your self, One other person doing these deals near you can be both a source of leads and inspriation.
Posted by Robin (OR) on April 23, 1999 at 02:55:29:
I’m a newbie, ready to jump into Lonnie deals, but I have a couple of questions.
I don’t quite understand how to learn the market value for an individual home. I’m reading the classifieds & taking notes, and started “riding the speed bumps”, but how will I know if the asking price for a certain home is too high, since there are so many different kinds? Do I just need to go see about 100 homes to get the experience?
Other thing is, I’ve seen some one bedroom’s advertised, should you stay away from them?
Thanks–This group is downright inspiring–of course financially, but also for all the help given.
value of mh’s is market specific… it changes with location, just like home values.
One of the best, available resources for mh’s “prices” is the dealer. Visit every dealership in the area and see what they are asking for their “pre-owned” mh’s. Try to negotiate with them on a cash basis. When you get to their bottom line, you should get a picture of what the retail price is for your area. If they will sell to you for 3k, they will sell to anyone for 3k.
When I am negotiating to buy from the everyday seller, I always figure out what I can sell or “retail” in that area. My end result is to buy at half (or less) retail in “as is” condition and sell at full retail with financing.
Visit dealers, read the paper ads, and look at as many mh’s as possible. When you see a “deal”, you will know it is time to buy.