Need to Sell Older Mobile Home HELP!! - Posted by James

Real Estate Investing Industrial
21

Re: Need to Sell Older Mobile Home HELP!! - Posted by James

Posted by James on January 22, 2004 at 01:25:41:

Thanks - very informative. I think I understand more why banks do not want to finance older mobile homes. I noticed how many refer to a cut off year rather than giving an age like "15 years old,? they will say pre 1973 (or some year between 71 and 74).

This HUD thing seems to have a lot of bearing on how people view the home. A couple investors have told me they do not deal in homes pre 73 (or whatever year) and have heard other people reference this (pre) year, always in a negative way. At first, I was warned the park might even make us move the home because of the date. Thankfully, they said no problem because of the condition.

Is there such a thing as updating it to be Hud compliant and if so does it make any real difference? I ask because they did a lot when they remodeled such as putting in copper wiring. I wonder if they made it HUD compliant or if there is such a thing and if this would change the feelings of a bank or investor if it were.

Tomorrow, I am going to talk to the person who handles most all the mobile home escrows in this area to pick her brain about possible financing and investors. Although I am ignorant about many issues, this kind of thing will help me to sound less so and is one less thing she will need to explain.

Thanks Again.

By the way, much of my family is into Real Estate and even own a Century 21 franchise out here. The only problem is they are pretty clueless about mobile homes or at least older ones and my wanting to just unload it. Although they keep telling me I should list it with them, I think if I did list it, I would do it with one of the mobile home companies for a number of reasons. I am not sure how it works in other parts of the country but there are places out here who just deal in mobile homes, kind of like auto sales. I would think they would have a better chance of getting a cash buyer like I need.

The whole cash issue is a big one and if I can find somebody who would be willing to finance the home, I am confident I can get more from an investor because they all tell me selling it is going to be hard for them because they need to find a cash buyer. Hopefully the escrow person will no some companies out here who do finance older homes.

22

Re: Need to Sell Older Mobile Home HELP!! - Posted by James

Posted by James on January 23, 2004 at 19:22:44:

I really want to thank you people who took the time to provide such great information.

I did find a couple places that will finance old mobile homes. I am not sure if this will be helpful to anybody here but here they are…

US FINANCIAL (www.usfinancialnet.com) 800–655-9044

I am not sure if the other one is National but it is

Santiago Financial (www.sfiweb.com)
714-731-8080 … Mary Ext. 111 (very helpful)

Both want 20% down with a FICA of 680 or better and interest rates at about 12% for a 15-year loan.

Santiago is a broker, not sure about the other, did not ask. Maybe these are just a few of the many lenders out there who do this but I kept being told it would be hard to find anybody who would do a loan for a 1968 home.

Since financing seemed to be a big negative on this home, being able to refer potential buyers to somebody I thought would be very helpful.

I intend to talk to a few more investors but now that I have found a couple lending sources, I am going to run a few ads and put some flyers in the park and such. Not sure yet how I will word the ads (ANY SUGGESTION?) yet.

To recap, this 1968 mobile home just appraised for $46K. It needs a little work like carpet and paint but it has all been remodeled a couple years ago and is actually very nice. Two large Bedrooms & Baths - Fire Place - Vaulted Ceilings - Central Air ? Washer / Dryer / Fridge …

Agents who want to list it tell me they want to list it says it could go for the high $50’s. It is located in a nice park about 45 minutes north of Los Angeles.

I figured I would run a few ads asking $35 to $40k or best offer for a week and if I do not get anything this way then I will just sell it to one of the investors. I would be willing to take $30k for a quick cash deal and avoid a minimum 30 days of escrow and loan process.

Really am not sure the best way to word the ads without scaring people away or losing extra profits and if anybody has an idea or other suggestions, would be happy to hear them.

My goal is just to get rid of this thing quickly. with the least headache at the best price considering I want out quick. The home is all paid for and nothing is owed on it.

Although a few of you mentioned carrying the note for the buyer, it may be a good things if I was in this business but I do not want this hassle and really just want the lump sum cash and be done with it.

Already I am putting more effort in than I want to but I did not feel comfortable with the investors offers especially since I found out that they are going to move the home out of the park and really are just after the space rent.

I guess in this area, mobile home spaces are rare. I have been told the space itself is worth $10 to $12K all by it.

Again, thank you so much for the advice and sharing your personal experience. It really helps me to understand what I am probably dealing with. I wish you the best of luck and a financially rewarding New Years. Although I doubt I will ever refer anybody to you, I am sure that your helpfulness has earned you business and referrals.

23

Re: Need to Sell Older Mobile Home HELP!! - Posted by James

Posted by James on January 22, 2004 at 02:16:00:

I almost missed this.

WOW - THANKS - THIS IS THE KIND OF INFO I WAS REALLY LOOKING FOR!!!

I hate to ask for more after such a great and helpful response but …

Do you typically negotiate? Is your first offer a starting point for you or do you just put out what your willing to pay and it is a take it or leave it type thing? Assuming you do start out with a low offer, is it typically a certain percentage under what you are willing to pay or does it really depend on the person and circumstances?

I know there is no rules for this type of thing but understanding how you do thing will at least give me an idea of how others may possibly work.

Both offers I got I just said thanks and let them know it was much less than I hoped for. Neither asked me for a counter offer but one called me back a couple times as if he was looking for one or at least anxious to make a deal.

The problem with these two was they were recommended by the park manager who I could tell became in cahoots with the one whose offer was a couple hundred more than the other. Without getting into it, I know she was getting something out of it if she got me to take the deal and she became very pushy and was doing everything to lower the value of the home in my mind.

This doesn?t mean they were not legitimate offers but it certainly made me wonder and convinced me to get some other independent offers.

Thanks again for taking the time with such an informative and helpful reply. I really wish you great success this New Year.

24

Unbelievable… - Posted by jp

Posted by jp on January 21, 2004 at 15:20:14:

I think James’ posts in this thread put him far in the lead for 2004 in the category of “Arrogant and Obnoxious Posters”. Congratulations James for showing your true colors.

25

I’m no rocket surgeon, but this forum… - Posted by Greg Meade

Posted by Greg Meade on January 21, 2004 at 14:23:03:

has really educated me to the HUGE difference in price and value geography can make. Doc has repeatedly posted about the CA situation. Prices there make no sense to the rest of us, but they use a different yardstick there and it all makes perfect sense to them. A CA investor called me last Sept and explained it this way" greg , you just add a zero here to buy and sell to make it work. Hmmmmm, buy for 20-30,00 sell for 80-90,000 with 20,00 down and 2500 per month forx months no interest. HMMMM this really does work for me…a lot!! LOL
Greg

26

I & U - Posted by Steve-WA

Posted by Steve-WA on January 20, 2004 at 16:30:13:

Why do you say we are ingorant and uninformed? Out of 50 states, 49 of them are addressed by peoples responses. California is way unreal regarding value - of MHs, real property, Big Macs, ANYTHING!

So the responses to your question are NOT being made by ignorant people, but perhaps you are ignorant of your unique situation. due to your unique location.

I just went back and re-read every direct reply to your question, and saw not one “put-down”

I think you are in the wrong business, Mr. Sensitive.

I do not wish to offend, but sometimes I do anyway. oops. sorry.

27

And to think… - Posted by Briton (IN)

Posted by Briton (IN) on January 19, 2004 at 13:02:19:

California is suppose to fall off into ocean when a giant earthquake hits it. Pay that much to live there? weird.

28

HUD - Posted by Steve-WA

Posted by Steve-WA on January 22, 2004 at 15:26:05:

In 1974, The U.S. Dept of Housing and Urban Development (HUD) implemented new construction standards for the manufactured housing industry. On or before June 15th, 1976, manufacturers were required to revise their construction to incorporate these particular standards (copper wiring, gypsum containment of water heater/stove, construction materials, etc) or the unit could not be sold. For many manufacturers , this was an easy conversion: they already met or exceeded many of the specified standards. For others, it meant that they went out of business.

One can remodel and obtain HUD certification. Check with the people who do building inspections in your state; in WA it is the Dept of Labor and Industries. They have the list of criteria, they will tell you what needs to be done, and certify by labeling the home that it meets the current standard.

A lot of people have heard of trouble with aluminum wiring; fact is, aluminum can corrode differently, and possibly cause shorts if not properly installed. This is not an absolute; Lonnie even details that he has never (at the time of publishing DOW) had any trouble with aluminum wiring. Usually, if it has lasted this long, it is OK as long as you don’t dink with it.

Just so you know.

signed -

I & U

29

Re: Need to Sell Older Mobile Home HELP!! - Posted by Judith Gibson

Posted by Judith Gibson on February 21, 2004 at 09:27:09:

1997 Pioneer 3 bedroom ,2 bathrooms, 1217 sq ft.
excellent condition. Must be moved from current lot. We’ve built a house. Can only take delivery in June, when we move our stuff out… ONLY $15,000.00

30

Re: Need to Sell Older Mobile Home HELP!! - Posted by Rod - Mo

Posted by Rod - Mo on January 22, 2004 at 19:20:07:

James,
My first offer is usually my last. What I usually do when my offer is refused is to explain to the seller how they can sell their home for what they want by offering the buyer owner financing. I even offer to give them the forms to make the deal. I suppose if I were not staying 100% invested, I would start negotiating, but I just haven’t found the need to yet.

In only one deal have I deviated from this practice. That deal involved a repo and I knew they would counter any offer I made, so I guessed at what they would counter with and made an offer based on that.

As for the park manager, seems to me she is pretty much in line with the norm. PMs don’t like vacant units (I am making an assumption here). PMs often suppliment their income with their own deals or commissions on deals. From her perspective, is she pushy or hungry?

What method is used in the real estate business to get the best deal? Offer her a percentage and see what happens. She is an ‘insider’ and knows how the game is played in the area.

Good Luck
Rod

31

Re: Unbelievable… - Posted by James

Posted by James on January 21, 2004 at 18:29:34:

I know little about MH prices and sales. I came here because I thought I might get some help from people who do.

Just because I did not buy into the very incorrect and reckless statements by people here doesn’t make me arrogant. It makes me a human who got a bit concerned that folks here could tell somebody looking for help what I knew was obviously incorrect information.

If you want to talk arrogant lets talk about the poster who says I get upset when I do not get the answer I want to hear as if the responses to my posts had any substance to them beyond possibly screwing somebody over who did not know better and belived the nonsense that was in these responses.

As to obnoxious, maybe so. I know it is a pain in the butt to have somebody who does know little about a topic tell somebody who is supposed to that they are wrong.

If I have done nothing with my posts but alert somebody else to the fact that the should not believe what they are told here then I feel good.

I am sure you people here have some valuable information to share but they are also capable of giving out some very very incorrect information that if listened to could cost sombody lots of money.

LOCATION - LOCATION - LOCATION

Doesn’t everybody know this saying when it comes to Real Estate? Isn’t it one of the number one things when it comes to pricing?

I still am shocked to find people speaking as authority on this subject who so easily forgot this when responding to my question.

32

Re: I’m no rocket surgeon, but this forum… - Posted by James

Posted by James on January 21, 2004 at 18:15:00:

It is not a California phenomenom and I would be surprised to learn that California doesn?t have some of the lowest priced homes in the country. It is a very big state.

Take a look at Forbes List Directory

The below is a list of some of the most overpriced places to live with the median home price in 2001.

Honolulu, Hawaii ---------------$203,000
Bergen-Passaic, N.J. ---------$245,000
Salinas, Calif. ------------------- $305,000
Los Angeles, Calif. -------------$232,000
Anchorage, Alaska -------------$142,000
Nassau, N.Y. ------------------- $195,000
Ann Arbor, Mich. -------------$206,000
Chicago, Ill. ------------------- $185,000
Miami, Fla. ------------------- $137,000
Reno, Nev. ------------------- $170,000

How about this?.

http://moneycentral.msn.com/content/invest/forbes/P62020.asp

The most expensive ZIP codes & Median Home Prices (Lower Zip Coded are eastern states and higher zips are out west)

33455 Jupiter Island $5,600,000
81611 Aspen $2,600,000
31561 Sea Island $2,232,000
33480 Palm Beach $2,200,000
11771 Centre Island $2,000,000
81435 Mountain Village $1,925,000
94010 Hillsborough $1,850,000
92067 Rancho Santa Fe $1,700,000
11545 Upper/Old Brookville $1,700,000
94957 Ross $1,620,750
60611 Near North Side, Chicago $1,390,000
10577 Purchase $1,348,000
92662 Balboa Island $1,325,000
94027 Atherton $1,293,000
94528 Diablo $1,267,500
94028 Portola Valley $1,250,000
90402 Santa Monica $1,250,000
02114 Beacon Hill $1,135,000
93108 Montecito $1,122,500
94024 Los Altos $1,100,000
95030 Los Gatos $1,084,500
96714 Hanalei $1,067,500
77019 River Oaks $1,065,000
90210 Beverly Hills $1,042,500
94920 Belvedere Tiburon $1,010,000
94022 Los Altos $1,000,000
95070 Saratoga $995,000
94507 Alamo $961,250
33921 Boca Grande $960,000
10580 Rye $950,000
11962 Sagaponack $915,000
92657 Newport Coast $914,750
60043 Kenilworth $912,500
94946 Nicasio $885,000
94010 Burlingame $880,000
90272 Pacific Palisades $870,000
98039 Medina $860,000
92661 Newport Beach $845,000
90266 Manhattan Beach $844,000
90274 Palos Verdes Peninsula $837,500
93953 Pebble Beach $823,000
92625 Corona Del Mar $820,000
94123 San Francisco $818,500
11959 Quogue $815,000
10506 Bedford $806,250
93921 Carmel $794,000
90077 Bel Air $790,000
94904 Greenbrae $780,000
94301 Palo Alto $780,000
91108 San Marino $780,000
10504 Armonk $776,500
10576 Pound Ridge $775,000
92651 Laguna Beach $765,000
94563 Orinda $757,000
10528 Harrison $756,500
94705 Berkeley $755,000
90265 Malibu $755,000
92118 Coronado $750,000
94062 Redwood City $750,000
94402 San Mateo $749,000
60022 Glencoe $748,000
11976 Water Mill $748,000
10538 Larchmont $747,500
92660 Newport Beach $740,000
94506 Danville $737,000
94114 San Francisco $735,000
10021 New York $727,500
11724 Cold Spring Harbor $725,000
94939 Larkspur $725,000
94118 San Francisco $723,001
10583 Scarsdale $717,500
92861 Villa Park $717,500
94941 Mill Valley $717,000
29482 Sullivans Island $712,550
90211 Beverly Hills $700,000
90049 Brentwood $700,000
95120 San Jose $700,000
93923 Carmel $695,000
95014 Cupertino $685,000
08738 Mantoloking $683,250
94127 San Francisco $682,000
90212 Beverly Hills $680,000
92037 La Jolla $680,000
95032 Los Gatos $680,000
94306 Palo Alto $679,000
92014 Del Mar $678,750
94549 Lafayette $675,500
10708 Bronxville $675,000
33149 Key Biscayne $674,750
93924 Carmel Valley $665,000
92091 Rancho Santa Fe $665,000
60093 Winnetka $665,000
94970 Stinson Beach $663,750
94030 Millbrae $661,250
91011 La Canada Flintridge $659,000
94025 Menlo Park $654,000
33924 Captiva $650,000
94707 Berkeley $647,000
10514 Chappaqua $647,000
94002 Belmont $646,000
95618 El Macero $645,000
94133 San Francisco $645,000
91302 Calabasas $642,000
94070 San Carlos $641,000
10968 Piermont $640,000
90275 Rancho Palos Verdes $639,000
93109 Santa Barbara $637,000
60045 Lake Forest $636,250
94121 San Francisco $635,500
95046 San Martin $630,000
93066 Somis $630,000
11978 Westhampton Beach $630,000
21036 Dayton $628,970
94087 Sunnyvale $628,500
94556 Moraga $628,000
94925 Corte Madera $625,000
91436 Encino $625,000
94115 San Francisco $623,000
94018 El Granada $615,000
10023 New York $612,500
94611 Oakland $609,000
94526 Danville $606,500
22066 Great Falls $605,000
94708 Berkeley $600,000
10022 New York $600,000
94618 Oakland $600,000
94574 Saint Helena $600,000
94960 San Anselmo $600,000
21153 Stevenson $600,000
94040 Mountain View $598,250
10803 Pelham $598,000
94065 Redwood City $598,000
93908 Salinas $598,000
20854 Potomac $597,750
11930 Amagansett $595,000
10510 Briarcliff Manor $586,000
92130 San Diego $585,000
95135 San Jose $585,000
19085 Villanova $584,900
94117 San Francisco $584,500
94019 Half Moon Bay $582,000
90254 Hermosa Beach $580,000
94901 San Rafael $579,000
94122 San Francisco $575,000
94131 San Francisco $575,000
60029 Golf $572,500
90048 Los Angeles $570,000
95033 Los Gatos $570,000
94041 Mountain View $570,000
94539 Fremont $565,000
85253 Paradise Valley $565,000
94061 Redwood City $565,000
95129 San Jose $565,000
21794 West Friendship $564,690
94937 Inverness $561,936
94116 San Francisco $561,500
90036 Los Angeles $561,000
93441 Los Olivos $560,000
10028 New York $560,000
94923 Bodega Bay $559,000
89011 Henderson $555,000
96821 Honolulu $555,000
94566 Pleasanton $555,000
94107 San Francisco $555,000
93111 Santa Barbara $555,000
95442 Glen Ellen $554,500
10533 Irvington $552,500
98040 Mercer Island $552,500
90068 Los Angeles $550,000
90027 Los Angeles $549,500
94037 Montara $549,000
22039 Fairfax Station $548,500
92106 San Diego $548,500
11932 Bridgehampton $547,500
94038 Moss Beach $547,500
92663 Newport Beach $545,000
94903 San Rafael $542,500
21405 Annapolis $540,000
95066 Scotts Valley $540,000
92075 Solana Beach $540,000
20818 Cabin John $536,000
94924 Bolinas $535,000
10024 New York $535,000
10570 Pleasantville $535,000
94583 San Ramon $535,000
94965 Sausalito $535,000
10706 Hastings On Hudson $533,000
33156 Miami $532,500
11975 Wainscott $532,500
94949 Novato $532,000
95073 Soquel $532,000
10804 New Rochelle $530,000
94109 San Francisco $530,000
94132 San Francisco $530,000
95125 San Jose $530,000
90290 Topanga $530,000
22101 Mc Lean $529,900
11977 Westhampton $528,250
94403 San Mateo $528,000
20816 Bethesda $527,500
10536 Katonah $527,500
10605 White Plains $526,500
94404 San Mateo $525,000
92127 San Diego $523,500
94110 San Francisco $523,500
20815 Chevy Chase $522,500
93110 Santa Barbara $522,500
95497 The Sea Ranch $519,000
90056 Los Angeles $518,500
92679 Trabuco Canyon $517,000
96822 Honolulu $516,550
90291 Venice $515,500
94552 Castro Valley $515,000
10709 Eastchester $515,000
95746 Granite Bay $515,000
93950 Pacific Grove $515,000
93460 Santa Ynez $515,000
94598 Walnut Creek $515,000
95003 Aptos $514,000
10560 North Salem $512,500
11739 Great River $510,000
98112 Seattle $509,000
19035 Gladwyne $507,875
92007 Cardiff By The Sea $505,000
94951 Penngrove $505,000
90740 Seal Beach $505,000
60521 Hinsdale $501,250
60091 Wilmette $501,000

33

Re: I & U - Posted by James

Posted by James on January 21, 2004 at 18:56:55:

“Out of 50 states, 49 of them are addressed by peoples responses.”

If you believe this is true, then you have much to learn about home prices.

34

Re: I & U - Posted by James

Posted by James on January 21, 2004 at 14:04:45:

I should have said that these people were not just ignorant but idiotic and reckless.

Ignorant:

  1. Lacking education or knowledge.
  2. Showing or arising from a lack of education or knowledge: an ignorant mistake.
  3. Unaware or uninformed.

I too was ignorant of certain things and this is why I asked for help.

The difference is that posters here posted as if they had answers they did not. Clearly they were ignorant about the prices of mobile homes in California.

Then they went on to make posts as if they had answers but these answers were very wrong and it was negligent of these people to make such posts when they are so ignorant on the subject.

Your response is just more of the same. Unwilling to accept a mistake was made and that these ignorant people tried to not only pretend they were not ignorant but went on to make idiotic statements.

idiotic:

  1. Showing foolishness or stupidity.
  2. Exhibiting idiocy.

So, let me rephrase.

These people were not just ignorant but also idiotic. It is possible these people are idiots and based on some of the defensiveness I am seeing, I am leaning to believe this but this would be an assumption. The only thing I can say for sure is they behaved in an idiotic way or the way an idiot might.

As I stated in the original post, the MB was appraised for $46,000. But these people thought they knew better when they clearly know nothing about home prices in California. I can sell this MB for right under $60k if I wanted to list it and wait for a buyer. This is based on recent comps and the numerous agents who want to list my home. I have already been offered about $25k by two different investors without even making any counter offers. For people here to make posts that the home is worthless or worth only $3,500 is plain ignorant and also reckless because some people actually might believe such nonsense.

Maybe these people were trying to help but I am not even sure of that. It seemed more like they wanted to speak about how great they were (I get these for free) but regardless, it is dangerous to give people advice like this when you do not know what you are talking about.

I was very clear in my post to give the location of this MH and I did this for a reason, because even I know that California homes are expensive.

You can go on defending these actions and trying to blame me because these people were reckless and wrong or as a business person you can put emotions aside and learn from these kind of mistakes.

Just because I may be very direct and not very patient with such ignorance and willingness of people to give out such incorrect and idiotic information should not give you an excuse to continue to act so defensively and ignorantly.

I simply was looking to get rid of this home that is no longer being used by anybody in a quick way while getting the best deal. I do not mind selling if for much less than it is worth as long as I am done with it quickly. This was all I was asking about and for all the silly answers I got, I received one email from a person willing to give me advice and to learn a little about the market out here.

I really do not care what you people think or if you like to post to each other about how much you know and how great you are but I get very concerned about somebody coming here for advice like I did and actually believing what you people say because so many of you are saying the wrong thing.

35

Re: And to think… - Posted by James

Posted by James on January 20, 2004 at 13:35:28:

Are you for real?

First of all, there is nobody who is informed about these things that believes Calif. is going to fall into the ocean because of a giant earthquake. There are those that believe in thousand or is it a hundred thousand or a million years that California will sink into the ocean.

As to living in Souther California, no place is perfect but it certainly is not bad to rarely ever have to deal with rain and to be able to do outside activities all year round including going to the beach in the middle of December or maybe driving an hour in the other direction and going skiing in the mountains.

Take San Diego where the temp is pretty much 75 to 85 degrees all year round with almost no humidity.

As to earthquakes, they are rare and do less damage then tornadoes, hurricanses and probably even lightining. I know more people are killed by lighting than earthquakes.

You cannot beat the weather out here and there is so much to do, from the oceans to the mountains and you can do them all year long.

It does have its downsides but there is a reason why homes are so expensive out here and they can’t seem to keep up with the demand.

36

a silly question - Posted by Steve-WA

Posted by Steve-WA on February 21, 2004 at 11:13:37:

uh, where is the trailer? Alaska? Baghdad? Doc’s lot, next to the row of cab-over campers?

37

Re: Need to Sell Older Mobile Home HELP!! - Posted by michelle

Posted by michelle on March 14, 2006 at 12:18:29:

I need to sell my 1977 skyline in washington and have about a month left do you know anywhere i could sell it at? thank you if you could email me at pandoera8989@iwon.com that would be great thanks

38

Lots of CA zips on your list, eh? …Nt… - Posted by Greg Meade

Posted by Greg Meade on January 21, 2004 at 19:00:13:

`

39

Re: I & U - Posted by c_lohomes

Posted by c_lohomes on January 21, 2004 at 22:46:17:

James,you might want to try a little fiber in your diet.

40

Re: And to think… - Posted by Philip

Posted by Philip on January 20, 2004 at 21:12:19:

It would be good to either lighten up or don’t post.
Philip