mobile home question? - Posted by D.N

Posted by D.N on March 15, 2000 at 21:34:06:

Oh no this park manager is a real peace of work. She is also part owner, so offering her a finders fee means nothing to her. We have met several times on good terms and I have convinced her to let me decide on how much of a down payment is exceptable. I sat down with her in the very beginning and explained in detail what I was doing,she even wanted it in writing. She seemed like she was going to be a very good park manager,boy was I wrong! I have spoken to several potential buyers and they said they were never treated so badly in there life before. She told me she is concerned that with such a low down payment(10%) that they might just get up and go. I told her there is no guarentee even if they payed in full that they wouldnt walk. I told her I would guarentee lot rent if they did walk away. I just need to sell this one and wash my hands of this park.

mobile home question? - Posted by D.N

Posted by D.N on March 14, 2000 at 22:14:57:

I have been doing some lonnie deals and I have run into a problem. I have encountered a nightmare park manager. I have explained in detail what I do and she had no problem with the idea. The problem is she is too picky with her credit checks and wants my potential buyers to put more money down on the home, than I expect to get from my buyers. Now i have a home that I am paying lot rent on and she doesnt seem to be happy with any of my buyers. I have lost three buyers already that had okay credit and more than ten percent down. I am losing my patience with her. What can I do? I have had this home for three months now.

Play your trump card… - Posted by Dirk Roach

Posted by Dirk Roach on March 15, 2000 at 17:44:32:

i D.N.

“Hello Mr./Mrs. DN This is Mrs. Jones the Park manager at XYZ Mobile Estates, and I’m calling to tell you that Mr. Smith was turned down, because he simply does not meet our credit requirements for park residency.”

DN replies, “Well, Mrs. Jones, Hold on let me grab his file… sorry there’s so many of them here…Okay here it is…Okay I’ve got his credit report here in front of me. What exactly is your concern, now about Park Residency? I can’t seem to locate any evictions, and it seems that he lived at the same apartment for the last 6 years and was never late…”

“Well that is true, Mr/Mrs. DN, but see back in 1992 he was late a month on his phone bill, and there are a couple medical collections here.”

“Mr.s Jones, I understand your concern. And I apprieate how you are looking out for me as well as XYZ Estates. That’s cool, but remember there are two cool thing’s about my finance company: Remember when I showed you those sample copies of the paperwork that my legal team came up with that we use. I’m referring to paragraph 6 page 2, Under the default clauses, I had my team work in some pretty broad clauses here, specifically so You and I can avoid problem tenants. Oh yes, here it is, Buyer must abide by park rules and regs or this note will be considered in default etc etc… The other cool thing is and really this is the important part, you and I both know if Mr. Smith is late with space rent, I want you to call me, Mrs. Jones, straight away. Because that will put him in default and I can simply get my legal team on repoing this home back and get him out of there. You know that’s why I love being the bank on these deals, because I can repo so much faster than you can evict. Gotta love that. But really let’s cut the fat. You know as the finance company, If Mr. Smith doesn’t pay his rent, then you are going to call me up and someone is going to have to pay it. And of course you know that isn’t a problem for me. So you are covered with your company (XYZ Estates) because you can’t lose, the rent will be paid. Hey you know I’m hungry, what are you doing for lunch today, Let’s go get something to eat, my treat. You know also I need to invest some more money and I was wondering who is thinking about selling their mobile homes this week…”

Hope that helps,

Communicate better - Posted by Jacob

Posted by Jacob on March 15, 2000 at 11:56:43:

I STRONGLY disagree with the whole bribe thing. It sounds slimy, at least in my opinion.

Tony said it right. Why does the PM need to know the terms of the deal? It’s none of her business. She wouldn’t ask Conseco their terms.

You need to clarify a little better about what you want to do. Clarify your goals and objectives clearer. Explain how it is to both of your best interests in the buyer being on time with their rent. If not, you will step in and take over. Either way, they are protected.


Re: mobile home question? - Posted by Dan (NC)

Posted by Dan (NC) on March 15, 2000 at 08:45:23:

Try bringing them in on the deal for a finders fee. Let them show it, or somehow be involved, for $250 or whatever you think will sway them. OK, it’s a bribe. But give them an economic incentive to get someone in the trailer, because right now they don’t have any. You’re paying lot rent and not using any of the park’s resources. That’s a great deal for them. Now show them there’s a better deal if they will work with you.

Re: mobile home question? - Posted by Tony-VA

Posted by Tony-VA on March 15, 2000 at 02:44:20:

I don’t ever discuss the terms of my deals with the park managers. I dont’ know why it would matter to them how much my buyer puts down. They are not doing the financing.

I would reassure the PM that if the buyer does not pay the lot rent, I will pay it. Try showing them a blank copy of your promissory note that states that they buyer must pay lot rent on time, obey the park rules, etc. or you can declare them in default.

Take the form with you. Bring in some of your other deals as proof that your business plan works. Take the PM to lunch and get it out on the table. Explain that you will do everything to ensure that the lot rent is paid. The larger brokers and finance companies do a very poor job of this. We are smaller companies and work closely with the PM to make sure that our buyers do not become problems. They should prefer to work with us because they have a higher authority to go to when problems occur. Will Conseco stop by the buyer’s home if they are late on lot rent? Heck no. We must not only sell our business plan to the PM but we must sell ourselves and our commitment to working with them. Explain that you have all of this to offer and would love to do business in the parks but without being able to sell the existing homes you have in the park, you business cannot survive and will have to move on.

Best Wishes,