Pre-Fabricated Homes-Is it possible to...... - Posted by Sean

Posted by Brent_IL on September 03, 2003 at 14:44:23:

I don’t know about vacant lots. I’d start with the MLS. At times there are double lots for sale at less than double pricing. These lots can be surveyed and split. Some of the double lots have houses sitting on them. Buy the house and get a lot for free.

Another way is to sub-divide, but this is a specialty in itself.

One more caveat. In an earlier time, I bought and sold RE in my own name, so I would show up in the chain of title. The land that was conveyed with some of these houses consisted of two lots having two deeds and two parcel numbers. In certain cases, the vacant lot was too small to meet the setbacks for new construction, so it was almost valueless. If the subsequent buyers were smart, they would stop paying taxes on the vacant land. They retained the use of the land because there were no fences between the boundaries. The tax lien was sold at auction. I received many letters from folks who bought the liens and mailed to ex-owners. They were willing to sell for less than they paid for the lien because all they had was land that could not be built upon that few others wanted.

Be careful to buy what you really want. `

Pre-Fabricated Homes-Is it possible to… - Posted by Sean

Posted by Sean on September 03, 2003 at 01:42:26:

Is it possible to get 100% financing to complete the entire project of developing with pre-fabricated homes i.e. purchase the land, pre-fabricated home, excavation etc? How would one go about doing this? Do hard money lenders touch these type of deals? Any advice would be helpful, Thanks

Sean

Re: Pre-Fabricated Homes-Is it possible to… - Posted by Brent_IL

Posted by Brent_IL on September 03, 2003 at 07:38:13:

Mortgage brokers might come up with several ways to accomplish 100% financing, but I think the most common thing that’s done with new construction financing is for the seller of the land to subordinate their interest to the construction loan. Maybe the pre-fab seller has a financing program.

I can’t see a HM lender doing this kind of deal when they have other alternatives, but it won’t hurt to ask.

Re: Pre-Fabricated Homes-Is it possible to… - Posted by Sean

Posted by Sean on September 03, 2003 at 13:01:29:

Thanks Brent. Whats the best way to locate vacant lots?