Posted by Ruben (KCKS) on June 04, 2007 at 20:47:26:
Ryan hit the nail on the head. When I took the home I got the title and a signed POA for the vehicle to record my Lien at the DMV.
Multi Collateral Mobile Home Loans - Posted by Ruben (KCKS)
Posted by Ruben (KCKS) on June 04, 2007 at 12:10:56:
After reading a post about a week or so ago between Karl and Steve I got to thinking of how to secure my low or no down payment deals better than I have been. Here is what I did with my last deal.
Buyer had only enough to move into the park. Sold them a home in as is condition. Since they had no down payment I took the title to their only vehicle which is owned free and clear. We agreed (in writing) that if they paid 6 consecutive payments on time or 12 full payments. I would release the lien to the car and then the loan would only be secured by the lien on the mobile home but until then both the car and mobile home are at risk if they default.
My hope is that if they do go bad in the first couple of months I can use the car repossession as another stick to get them to get out of the home quicker. I really do not want the car and if I can just get them out of the home fast it would be worth it just to release the car lien and call it a wash (depending on the condition of the home). If it gets ugly and they force me to do a full repossession I go after the car as well to assist in compensating me for my trouble.
What does the board think of this concept?
Ruben D. Flores
816 918-9041
Re: Multi Collateral Mobile Home Loans - Posted by Todd(AZ)
Posted by Todd(AZ) on June 04, 2007 at 20:03:41:
I did a personal loan once and took title to the ladies car as collateral. I always wondered/worried that all she would have to do is go to DMV and say “I’m thinking of selling my car and I seem to have lost my title. Can I apply for a lost title”? I could be wrong here but it seemed to me that with a very small fee, BOOM, she gets a new title. Does anyone know about this and if that’s correct, other than a very small inconvienience on their part and a small fee, how are we protected? Todd (AZ)
Re: Multi Collateral Mobile Home Loans - Posted by Ryan (NC)
Posted by Ryan (NC) on June 04, 2007 at 17:26:28:
I’ve also found this to be a very effective way to get low cash buyers in and have them pay. From my limited experiences if they are willing to put up their title to the PRIMARY vehicle they tend to pay very well at least as long as I hold the title and I’ve never had to use repossession of the vehicle to collect. (also took title to a sports car once that I would have liked to have had but he paid instead which worked out ok too)
I’m curious to see if this has the same effect on your deal… in other words please don’t let this post die here, give me an update in August. =)
Best wishes,
Ryan Needler (who’s now thinking about a new craigslist ad)
Re: Multi Collateral Mobile Home Loans - Posted by Glen (OH)
Posted by Glen (OH) on June 04, 2007 at 16:24:12:
Ruben,
How easy is it to repossess a car in your area?
Glen (OH)
Re: Multi Collateral Mobile Home Loans - Posted by Ryan (NC)
Posted by Ryan (NC) on June 04, 2007 at 20:22:12:
that’s where your lien comes in, with a lien properly recorded they cannot get a new title! Same as a mobile.
Best wishes,
Ryan Needler
Re: Multi Collateral Mobile Home Loans - Posted by Tony Colella
Posted by Tony Colella on June 04, 2007 at 16:47:51:
Bet he would never had to repo the car as most folks will bolt the home in the car but what a great bargaining tool.
“Sure I will give you the car title back, if you leave the home in as good a condition as I gave it to you in and do so by this weekend. Call me when your ready to have me walk through.”
Tony