Re: Out of my niche but can’t help asking - Posted by JHyre in Ohio
Posted by JHyre in Ohio on February 23, 2001 at 10:31:59:
Repairs: Did it freeze up or is the heat and electric tape still on? If it was winterized, was it properly done (see recent post on main site for this)? If the electric is off, beware…you want to know state of wiring & cost to repair beforehand…because of liability and cost to repair (electricians are soooo expensive, but I use them instead of “guys who know alot about electricity”- that pesky liability thing again) if I find electrical problems, I pass on the deal. Then again, I usually deal with much smaller dollar amounts per home, $1000 to $6000 being my range, $3000 being the average…with the numbers you’re talking, a bit of electrical work may be justified. Roof leaks, weak floors (anywhere there’s water- Bath, near windows, etc.) and wall rot are common in older homes in my clime…but fairly simple to correct.
As far as contractors are concerned, caveat emptor…these people are a real PiA where MH’s are concerned. For reliable work, check with park managers. Get an outfit that specializes in mobiles and regularly works on them…Joe the part-time handyman is good if you have the time to screen & train and intend to use him repeatedly. Sounds like you want a one-time job and won’t need MH repair services very frequently, so taking the time to develop cheap but effective MH help would be counterproductive. Shop the professionals, many gouge, especially if a female is involved…the MH industry is RIFE with dishonesty.
Sandwich L/O sounds like a good idea unless you are fairly certain the thing will sell for cash within a reasonable span of time. When I plan for a cash deal, I ask park manager about actual sales and get realtor comps AND estimate of time to sale, then undercut the market by about 10% to 15%…I prefer the fast dollar to the last dollar.
I’m not sure why you’d want to buy outright, assuming reasonable LO terms…MH loans tend to have a lot of garbage fees (points, “service fees”, etc.) and rates on used homes are high (15%+), so a personal line of credit may be the way to go. See what MH loan brokers have to offer…maybe they have low-fee programs for good credit…I usually consult with them for the opposite reason, that is to get credit for those with “dinged” FICO scores.
Hope this helps,