Posted by Jon Richards on January 17, 2001 at 22:25:57:
Bernard, you ask how much should you pay for a mobile home?
There is no right answer, except to say you need to make a profit. You need to buy below market, with great financing. My rule of thumb is to buy 10% - 20% below FMV. If I can buy it today and sell it today at a profit, then it’s a good deal. I may have to look at 50 properties to do that, but the profits are worth the effort.
Another cliche: You make your profit when you buy, you realize the profit when you sell.
In short, your question is all wrong. You should ask “How do I find out what typical mobiles are selling for…and how to do I buy them below market?” That’s an answerable questions that can be answered in David Butler’s Tin Can Alley book for $195. And in some seminars, with some research and experience.
Good luck
Jon Richards
Publisher, Noteworthy newsletter.