If not given away they will have to pay to tear it down; what will that cost? Around me, its about 2500-3500. So tell them that you will get rid of it for 2500.
Or walk away - believe me, I understand how hard that is to do sometimes - probably the hardest thing after GOTC is to hold yourself back. After years, and hundreds of completed deals, I still buy crap that I shouldn’t, all because I have stars in my eyes.
Get that under control, and you are well on your way to writing many success stories.
Posted by Pam (PA WV) on June 10, 2006 at 20:12:16:
I am going out to look at a 1985 3BR 2BA mobile home that by looking at some pictures seems to be in excellent shape. In a park that year mobile would sell for about $10K cash (obviously more on a note).
The couple is willing to give away the mobile home for free, but it needs moved. It is on private land and they are getting ready to build. The mobile has a title separate from the land deed.
The BIG problem is it sits over a walk out basement. I’m told would need to be lifted by crane to set it on wheels. From initial exploration, I suspect it would cost about $4000 to move it to a park, with the majority of the expense in the crane work.
The owners have about a month to find some way to get rid of the home, and I know they have been looking for someone to take it for over a month. A number of people have checked it out. So far all of them have turned them down. I talked to a couple that turned them down, and they told me the place is extremely nice, but they just can’t afford to pay to have it moved.
My plan is to go out tomorrow and look it over. Hopefully it is as nice as the pictures show. However, I intend to turn the offer down…unless they would be willing to pay for the crane crane to lift it off the basement.
I know these people are getting desperate, and right now, I’d have to borrow from my 401K to finance the move, so I’m not willing to pay for it all and then still deal with lot rent, advertising, etc. until it’s sold.
Not sure what will come of it, but I’d appreciate any thoughts and advice.
Posted by Pam (PA WV) on June 11, 2006 at 20:29:00:
Ok, I went out to look at the mobile home. It’s actually in far better shape than the pictures showed. Other than moved, the only thing it could use is new linoleum in the kitchen, and the access hole for the basement stairs repaired.
The mobile is actually just resting above the basement. There are I-beams under the width of the trailer. I really think it can easily be moved without a crane. One nice thing about the basement was I got a real good look at the underbelly.
The almost $4000 quote the owner received was from the company that is selling them the manufactured home they are buying. I am going to check around a lot closer and see if I can get it done and set up in a park for well under that. Then I’ll ask the owner to put up that much for me to “get rid of it”. Which would still be far better than what they are looking at spending now.
They tried to tell me that there was someone else very interested in it. But it turns out the “interested party” is the person that gave me the tip on this home, when they couldn’t afford to move it.
I also ran the speed bumps while I was at it. Prices have gone through the roof this last year. Mobiles of that size and shape are now actually selling for $25K to $30K. Asking prices are out the roof these days, and you can’t find a SFH listed for under $100K.
I also got some other possibilities while I was out, so I have lots to do.
As I find out more, I’ll let you know what, if anything, comes of this deal.
Thank you Lonnie for the books that I have poured over time and again. Thanks Bruce and Will for the information. It helped more than you know.
You would not need a crane. The home is easily moved off the basement with a set of “I” beams and rollers. The home is jacked up and the beams are placed across the width of the home. The rollers are then set and the home is rolled off just like a double wide is set. It will cost some money but not what a crane would cost. Much safer for the home too. I cannot imagine it would be half of the $4000 you mentioned. Good luck, I would not be ready to walk away just yet but investigate further and get a reputable contractor or two to price it out.
