Posted by garanger on March 10, 2001 at 02:40:48:
A cheap way to get rid of the MH might be to see if the local Fire dept would like to burn it for training, and then you can call it a donation and write it off your taxes.
I would advertise it yourself with owner financing and see what happens.
My own MH dilemma - Posted by Chrys
Posted by Chrys on March 05, 2001 at 22:56:05:
Wanted to ask you guys for some advice. I bought 5 acres in the country many years ago. Eventually I moved a 14 year old mobile home onto the land (it was in good shape) that I paid $5K for. I didn’t have to do any work to it, just move it and move in. I added well, septic, etc to the property. Now, 16 years later, I want to move. The MH (a 1971 model) needs a few spots replaced in the flooring, carpet, and minor plumbing repairs and well, this is the biggie…I started rebuilding the roof (tore off the old, built trusses and made a real roof) but I only did it halfway, the other half still needs to be finished but I’m out of motivation and trying to relocate 4 hours away. What I’m trying to figure out is, if my property is worth more with the MH in it’s condition or should I try to get someone to remove it? The new roof added weight that I didn’t think would be a problem since I never planned on moving the house, well, that’s changed, now I’m afraid it can’t be moved without the weight of the roof causing the exterior walls and floor to give. (You could drive a truck on the roof it’s so well built, and unfortunately…heavy!)
The area has experienced significant growth in all the years since I bought the place. Now it seems like it’s in the city. (Which is why I’m moving.) Land around me has sold into 5 acre tracts and there are nice homes there, some two story, no MH’s at all. My land is wooded and very nice as far as a building site for a new home. But, I hate to “throw away” a decent MH too.
I’d like to turn it into a money maker for me as in maybe a rental or sell and carry the note, but I’d have to fix up the house, I don’t want to do that if at all possible.
I’m about to close on some land in the area I want to move to, but it’s bare land. So I need the cash from the new place to be able to put in well, septic and house on the new place.
Any suggestions?
Thanks,
Chrys
Re: My own MH dilemma - Posted by GregVa
Posted by GregVa on March 06, 2001 at 07:03:12:
What is the land worth if you sell it without the mobile? If you want to sell and carry note on the mobile you will obviously get more for it if you do the repair work. You could possibly sell the land with mobile and carry the note on both then use it as collateral to borrow on the new land.You may want to check around first and see if you can find someone or a bank willing to work with you on such a deal. Doing it as a rental maybe a real headache due to the fact it will be four hours away.Hope this helps some
good luck.
Greg
More info - Posted by Chrys
Posted by Chrys on March 06, 2001 at 14:29:19:
Banks won’t even consider it, due to age (pre-HUD and all that). I’ve tried, the bankers struggle to keep from laughing.
The MH is 14 X 70 …2br 1 ba.
Because of the distance thing I opted to let an agent work with it for 3%. She was excited, but then she talked with her broker and “supposedly” he poo-pooed the property, saying I was way out of range on what I’m asking.
See the distance from the city is crucial here, I think. This property is 3.2 miles from the city limits. Go a few more miles out and property is selling for $4,500 an acre (in small tracts like mine) if it’s just raw land, no improvements…basically a briar patch. If you go one mile closer to the city than mine property has sold recently for $12,500 per acre in 2 acre tracts with no improvements…just pasture land with a paved road to a cul-de-sac. This $12,500/ac land is a new development and the investor who is/was selling it didn’t use an agent just a huge sign that looked nice.
So, my property is on a hill, lots of trees, secluded, paved road, well, septic, electric, propane, driveway, fenced on 3 sides, and has a small pole barn/structure for horse (I emphasize small though…it would keep 2 horses out of the rain but that’s it).
What I’m thinking is, this broker doesn’t have the $12,500 per acre sales in his comp listings cuz it was a private development and sale. He also deals mainly with larger properties which of course sell for less per acre than smaller pieces. I do know that property sold or some of it has for that price cuz I ran into a friend who paid $25,000 for 2 acres at the end of that cul-de-sac. (Wish I’d known he was looking, he was heartbroken to learn mine was for sale after he’d bought that.)
My asking price was $62,000 but I told the agent “bring me any offer!” which she said she’d do…two months without a word so I call and she said her broker said no and she “lost my phone number” yeah right!
So, it’s hard to know exactly what the property is worth without the house, because there is nothing comparable in that exact area. Also, some people would want to build on the land, some people might want to live in the mobile and build later, some may have their own MH to move there, or it would also make a decent rental for someone who didn’t mind a little fix up work and dealing with tenants. So…do I haul the thing off or do I sell the whole thing without factoring in anything for the MH (which is how I’ve tried to price it) or do I struggle with it another 6 months to fix it up and sell or rent it myself??? (It would take 6 months cuz I am so busy with other projects.)
I’d appreciate anyone’s thoughts here!
Chrys
Determining value - Posted by BillW
Posted by BillW on March 08, 2001 at 17:29:01:
Chrys, Interesting property. It seems that your probable buyer is someone very like yourself, wanting the same basic things. If you target market for this type buyer, you might have more luck. As to value, if you want to spend money for an appraisal, that might help get a more sellable number. I would personally find a different agent. After 6 months, and considering what you said they did… So, value, one way to look at it is to calculate replacement costs. The land is certainly worth way more than the $4500/acre you mentioned. Possibly, it might be worth a premimum to certain people who want what you have. If you added in the cost of driveway, septic, well, outbuildings, horse stalls and corralls, etc. and allowed a reasonable deduction for use and condition, you could figure a value for all but the mobil itself. Then, depending on condition, put a number on the mobil. If you must sell to make the new deal, sell. Otherwise, I think from your description, that I’d be inclined to sell just the mobil and lease (and keep) the land. (Take equity loan on land, payments no higher than the land lease).
I think the key is to find someone who thinks like you do, then you’ll get the sale.
good luck,
BillW.
Re: Determining value - Posted by Chrys
Posted by Chrys on March 09, 2001 at 10:34:12:
Thank you Bill. That was a very informative reply. You shed a lot of common sense on my problem here.
Though, I suspect the mobile will have to be finished out in it’s present location. To attempt to move it, I think, would destroy it due to the added weight of the new trusses/roof/etc. The other option would be to sell it for scrap to anyone who’d make an offer and they’d remove it piece by piece to salvage the better parts…unless there is a way to sell it to be moved, with a clause in the contract that would protect me legally while allowing me to keep whatever amount a buyer paid, in the event they attempted to move it and in removing the support blocks then the weight of the roof caused the exterior walls to collapse. But I’m not sure that could be created legally, and stand up in court. So I am hesitant to attempt that.
Again, thanks for the insight Bill.
Chrys