Posted by Bill on July 02, 2003 at 16:55:49:
Creating a note is the obvious way to go. Keep in mind that park managers view someone who would “sub-lease” from you(being your tenant as well as the parks’) as a big risk for the park. They want people who have a vested financial interest in their home.
Good luck!
Park says OO MH only - no renters - Posted by Tim (CT)
Posted by Tim (CT) on July 02, 2003 at 07:53:59:
I looked into a couple of MH’s for sale. Spoke with the park management and they told me their park is solely for owner-occupants. Is there any way around this? Here’s one thought I had (not sure if it would work). I thought about owning the MH, and then rent it out to somebody. Now, before they take tenancy, I can sell 1% of ownership to them for $1. I would record this document and then show it to the park management. This would show them as part owner of the MH. At the same time I sell them 1%, I would have them sign a quit-claim deed for the home. This would get recorded immediately after they take tenancy.
Would something like this work? Are there other ways?
Thanks.
Re: Park says OO MH only - no renters - Posted by Ron_KS
Posted by Ron_KS on July 03, 2003 at 16:41:49:
Hi Tim,
That method of “selling” a rental property to a tenant is Carliton Sheets idea, it is good and as far as I know, it is legal.
Another approach to this situation might be to buy some donuts and coffee and re-approach the park manager and let them know that you are an investor, you buy mobile homes, fix and clean them up and sell them to a tenant that has been approved by “their” park and you stand liable for the lot rent in case the new tenant fails to pay on time.
You might also mention, while your dipping your donut, that a lot of the mobile homes, particularly the newer ones in “their” park are owned by banks, green point, conseco, some saving and loan association or a credit bureau and the tenant is merely making a payment to one of them MUCH THE SAME WAY AS THEY WILL BE PAYING YOU!!!
Tell the manager that you arenot a bank or any of the above but you are an investor and you will work with the park as will YOUR BUYERS!!! You are guaranteeing this to the park. I have used this ploy and have had no problems. Other than that, you might resort to plan A, sell for $1.00, record and show owner-ship.
Best of luck,
Ron_KS
Re: Park says OO MH only - no renters - Posted by Karl (Oh)
Posted by Karl (Oh) on July 02, 2003 at 08:53:10:
Here’s a better way. Sell them 100% of the mobile home, carry back the financing by creating a note, and be the lienholder on the home, just like a bank. I’m sure all the homes in that park are not owned free and clear, most of those owner occupants are making payments to somebody for their home.
Have you read the book Deals on Wheels?
Karl Kleiner
Re: Park says OO MH only - no renters - Posted by jenv
Posted by jenv on July 07, 2003 at 11:44:50:
It’s not tax efficient compared to lease/optioning a mobile home. Even Lonnie does L/O if he can. I’d try selling the l/o to the PM as an owner financing device, and that you don’t want to give up title until you’re fully cashed out because of the hassle of foreclosure.
Re: Park says OO MH only - no renters - Posted by Tim (CT)
Posted by Tim (CT) on July 02, 2003 at 08:58:13:
Thanks for the reply. You’re right, that does seem like a better way. And, no I haven’t read the book “Deals on Wheels”. I’ll be ordering it in the next few minutes though. I hear nothing but good things about it.
Thanks again.
Re: Park says OO MH only - no renters - Posted by Gary Fl
Posted by Gary Fl on July 02, 2003 at 17:34:03:
Also you should check into Ernest Tew’s materials. They are great for filling in the details of how to set up for business and do deals. Gary