Posted by Dan - GA on August 04, 2003 at 07:26:40:
I’ve seen deals like this in several markets in GA. In 2000, I purchased a park in central GA and there were 7 or 8 new MH sales lots in town. My thought was, if this many are being sold, they must need somewhere to live. To a degree that was correct. Since then, several dealers have gone out of business, and there are now only 4 new MH sales lots in town. 2 of the 4 dealers are advertising new leftovers as described. As I stated, every market is different. MI may not have been as over developed 3+ years ago, so the dealers aren’t as desperate to stay in business, plus these homes don’t have the insulation for a cold winter, so moving them north isn’t an option. The A/C can cool 20 to 30 degrees when it’s 90 to 100, but the furnace can’t heat 70 degrees when it goes below 0.
I could have moved these into my park, but would have had to sell them at little or no profit and may have had to still do owner financing. Not a money making formula. Instead, I purchased a repo that was in my park and another one from another park and had it moved in. These aren’t “true” Lonnie deals at 1 to 2K, both sold for over 20K, but keeping and moving nice MHs into my park add to the value and appearance of the park.