Posted by David Alexander on June 23, 1999 at 24:57:09:
95% of FMV for MH notes, on top of that for a package of three, and then you get a yield of 45%?
Institutional buyers of MH notes want mobiles with land, if not they payors need to have A credit and not on older Lonnie deal type notes.
If I’m misinformed please enlighten me.
David Alexander
Mobile Home Notes - How to sell, and to whom? - Posted by Rodney (AZ)
Posted by Rodney (AZ) on June 22, 1999 at 20:36:07:
I’m now the proud holder of 3 notes from mobile home deals that I’ve done using Lonnie’s methods. It occurred to me that I might like to sell one, two, or all of them to get more capital to invest in more deals. Questions abound. What are the criteria for selling notes like this? What are the buyers looking for? Who are they, and how do I contact them? And, finally, what kind of yield would be typical if I WERE to find a buyer?
Can anyone shed some light on this subject?
Thanks to all.
Rodney
Hypothecation… - Posted by David Alexander
Posted by David Alexander on June 23, 1999 at 01:01:23:
Friends, family etc. or anyone you can find that needs a better return on their money. Borrow against the notes so that you stay in control, and are able to protect your lender. They aren’t going to know what to do if the MH people default. Borrow at 15% or so against your notes and take the cash and reinvest.
When you get a bigger portfolio of notes there plenty of people to call, Terry, Dirk, David S, and even maybe me.
David Alexander
Re: Mobile Home Notes - How to sell, and to whom? - Posted by Jeffrey
Posted by Jeffrey on June 22, 1999 at 23:09:47:
You want to sell to institutional investors who generally will pay up to 95% of FMV. You can find them doing a internet search and your yield will typically be 45%.