How do I know what is a good deal? - Posted by Anne_ND
Posted by Anne_ND on June 15, 2006 at 10:15:12:
I admire anyone in MN who owns rentals. My real estate doings are located right on the ND/MN border, I have some experience in MN. Depending on where you are in northern MN these prices might help you. I do think you haven’t yet talked to the right sellers- most of my screamin’ deals are referrals from the PMs.
In 2004 I bought a 1991 14x80 from a dealer for $12K and spent about $3600 on moving and set-up. Otherwise home was in immaculate condition. Sold twice, the first time on a note for $24K, got back and then sold again on a note for $18K (unusual circumstances led to me selling so cheap, I’m sure I could have gotten more had I been there in person to sell).
At the same time I bought a 1996 16x80 from the owner for $10K, put in new carpets and repaired some siding and sold for $25K, that buyer is still in place. The seller was the father of the wife who went to jail for running a daycare while her husband sold meth on the side (i.e., motivated).
In 2005 I bought a 1994 16x80 in pretty bad shape for $10K, spend about $7K on it (relevel, bathroom repairs, carpet, new deck) sold it twice, the second time for $26K on a note.
As for land/home deals, I’d rather Lonnie the home and rent the land- lots of people here will tell you otherwise, but when I get the call at 2am from a tenant saying “my furnace is out” I’m outta bed and paying big bucks to get that furnace on ASAP. If it’s a Lonnie buyer, and their furnace goes out, I give them the number of the MH furnace guys who can help them out and then I roll over and go back to sleep. Which would you rather do when it’s -40 outside?
I started with SFHs and really love my Lonnie deals because they are so easy in comparison.