This looks like a good potential deal. First, check with the park manager to see if there is any problems with the MH staying on the lot. Also, if the park requires any work, and if the rent is current. If no problems there, you then need to have a good idea what you can sell the home for.
Unless the park is a war zone, or crime infested, you should be able to find someone happy to buy if you offer financing with affordable terms. But first, you need to know what you can sell the home for. Compare the prices on other comparable homes and make your prices competitive. If you?re not sure, try to tie the home up with a lease/option and find a buyer first. Post “For Sale?Will Finance” signs in the home and run a test ad. Ask the park manager to help you find a buyer. Go door to door in the park and let the residents know you have a home for sale and that you will finance. Leave your name and phone number with everyone.
If the lien is held by a local bank, go in with your seller, pay it off and get the title. If the sales agent is entitled to a commission, let the seller pay it from the proceeds of the sale.
As for the purchase price, ask the seller “What is the best cash price they will accept if you can get them the cash today.” Let them give you a price before you make them an offer.
I think I have found my first MH deal. I have a friend that wants to sell her mobile home, she is very motivated because she is moving. Well here it is, it is a 14 X 70 2bedroom and1.5 bath and it is in immaculate shape. this home looks brand new, it comes with new carpeting refridg. new stove and microwave. She is asking $3,400 obo, the problem is the park is not a very nice place , but the lot rent is only $165 a month and that includes water,sewer and taxes, the other problems are she has it listed with a real estate company and she still owes the bank money for the home. I have just recieved LONNIE SCRUGGS book this weekend and i’m reading like mad, but I think there is potential for a deal here and would appreciate lonnie or anybody guiding me through my first deal. Thank you
Only one thing I might add that could make this deal any better. Once you find out the best cash price, then find out how much is owed to the bank for the pay off. You can probably get your friend to let you pay it off and take their money later. That would allow you to market and sell the home and you would probably be able to pay the home off with the proceeds from the down payment depending on the equity.
Make sure you can leave the home and make sure the PM is someone you can work with. Follow Lonnies books to the T and you can’t go wrong.