Mobile Homes in Cold Climates - Posted by Doug Pretorius

Real Estate Investing
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Posted by JHyre in Ohio on March 18, 2000 at 07:30:46:

John,

Long time no chat…nice to hear from you. I hear what you’re saying…my experience in Toledo is that MH’s sell VERY slowly all year round and even SLOWER in the winter. I hate Toledo for Lonnie deals. I’ve had more sucess around Columbus, but that’s because the park has been totally on my side. I find that the response to ads- I’ve tried most everything suggested on this site- is minimal. Simailarly, post card mailings, signs and other written media have produced little in the way of results. Basically, if park managers are not enthusiastically on board, my experience in parks north of Route 70 is awful. I think the culture up here is different…the South has many more MH’s per capita and a wider acceptance of them. Lonnie deals do work up here if the managers play ball- but the ads do NOT get the phone ringing off the hook.

John Hyre

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Mobile Homes in Cold Climates - Posted by Doug Pretorius

Posted by Doug Pretorius on March 16, 2000 at 17:37:39:

I can fully understand cheapo little tin cans in the southern states with little or no insulation and little more than a space heater for those occasional nippy early mornings.

But being from Canada, I’m concerned about the poor little guys (my tenant/buyers) freezing their butts off during our long hard winters. Do I just have a completely inaccurate idea of what a mobile home is? Or do I need to be budgeting for much more expensive units?

The reason I ask is that I was just offered a 1990 Parkhill 14x72 for $35,900CDN which was a trade-in and thought “Hmmm, that sure doesn’t like like a ‘Lonnie Deal’ to me!” Add to this that most of the mobile homes I see advertised around here are upwards of $50,000 (again CDN.)

Is there something I’m missing or should I just go ahead and move to Florida? :slight_smile:

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Re: Mobile Homes in Cold Climates - Posted by JOHN KATITUS

Posted by JOHN KATITUS on March 18, 2000 at 02:04:36:

After finally getting out from under most of the burden of 12 Lonnie-type mobile homes in northern Ohio, I would suggest you run a test-run ad. The most productive ad we ran was “Mobile home for sale - three bedrooms, will finance.” If, and only if, you get an overwhelming response would I suggest getting involved with CHEAP ($1000 - 2000, even Canadian) mobile homes.

My personal feeling is that we don’t have near the number of mobile home buyers (or population) in the north as they do in the southern states, which really makes sense for the reasons you stated. The only moderate number of calls we generated was in February, when some people received their income tax refunds. Our entrance into the mobile home market strapped us with a burden that almost put us out of business completely.

How much would anyone pay to heat a tin can with windows that don’t close? And that’s exactly what the cheap ones are.

If ANYONE has been successful at selling MH’s in cold climates, I would greatly appreciate your contacting me. Thanks.

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Mobile Homes in Cold Climates - Posted by IdahoRob

Posted by IdahoRob on March 16, 2000 at 20:21:47:

Hi Doug
The Lonnie deals usually don’t begain in the 90’s Most true lonnie deals are on 1970’s and up.-- single wide.

You will see ever so often some one will post that they do get the newer ones at lonnie’s price of $3000. Or a little more.
This is seldom the case in the northern states how ever.

I know that things cost more in Canada and some of that is because of dollar evaluation etc. So would think you could find these mobile homes 1975 to 1985 in the $4000 to $5000 range and sell them on a created note in the $12,000 to $15,000 range.

I live near the Canadian border in the US about 165 miles and do go up into Canada about 6 times a year.

My hunch is that you saw a sign in a mobile home by the dealer or the park manager spoke to you about this 1990. I would start to focus on the little black red and white for sale signs that the mobile home owners put up and explain to the Park managers that you don’t care if the home is in the 70’s or 80’s. Needing some work.

I was going throught a park in Aggasie Near Harrison Hot springs in Canada and know that these older mh’s do come up for sale.

Doug lets look at this for a moment. If the mobile home is 20 years old and still has someone in it. They must have found a way to keep cosy in the winter. Sense 1976 I belive it is-- mh built in the US have hud standards the same as sfm-----what I saw— at least along the border was mostly US built, and I bet most owners when ordering got the cold weather insulation pac.— Why not look for these older homes, when you see one thats for sale—some evening stop in and see if they are not indeed warm inside. You may very well run into the motivaded seller that all of us need to make a lonnie deal work.

In my neck of the woods the mobile homes have natural gas furances, some in the outlying areas where natural gas is not piped, the mobile home has propane. They use the portable electric space heaters very seldom.

If Mobiles don’t work for you why not try a differant
area of investing. LIke Lease/Options one of the few investor type things that will work in Canada.

I even work differant states. But Doug commuting to Fl. is even to long of one for me LOL. Try the older mobile homes first in your area. Using Lonnies classic step down—always ask when leaving. What is the least you will take if I give you all cash in 2 days. Then don’t say a word untill the owner does.
In your best acting form start to open the door to your car ask another question. Is that the very best you can do??? Start the car and say here is my number, if you change your mind give me a call. Then if you are out near that mobile home area in a week and he hasn’t called you, stop by and say was just wondering if you sold your mobile yet. Do some small talk but don’t stay long, and ask the same questions when leaving. How much will you take if I give you all cash in 2 days. Is that the very best you can do?? You might be doing this step down 3 or 4 times stopping in or calling them about a week apart.
I hope this has helped.
Rob Harris