Posted by Tony-VA on January 04, 2001 at 18:06:31:
I have a couple of suggestions for you to consider.
You can begin protect yourself a couple of ways.
In Terry Vaughan’s chapter in the workshop book, just after the example of his promissory note, is a form called “Consent to removal of personal property affixed to real property.” This may assist you in securing your interest in the home on private property. As always, have your attorney review it.
This may alleviate your need for a helicopter.
You will want to verify who the owner of the land itself is (bearing in mind the problem that created the need for the helicopter). Since you friend appears to be the one selling both, it should be easy to locate and confirm documentation.
Hello all,
My partner and I have been working hard here in Maine and having some success. Because of the relatively slow season (a foot of snow slows everyone down) we have been doing ground work for the spring. We have met with a guy who is in a similiar business. However, he buys and sells (and MOVES) homes but does not finance. After a two hour discussion we began to realize how we could help each other. He buys homes for cheap all over the state. (With kids we have been limited to about a 45 minute range.)
He will call us to let us know when he has a home on his lot that may be within our price range…furthermore, he will increase the price to customers to include our finance price. (We’ll buy for all cash from him so that he makes his profit as well.)
Here is my question: What, if any, experience, do you all have with placing homes on private land. (He will move them for us.) I can’t forget the helicoptor story told at the conference! I’m wondering about the legal issue of forclosing on a home that is on private land. Any advice about documents to cover myself for repossession?
(Furthermore, if we had to repossess, our guy would be involved in the moving and sharing in the profit of reselling.)
I plan on doing very intensive due diligence with background checks in order to hold down my default rate. I would have one meeting with the buyer on closing, but that is it since they will be hours away most likely.
I know this is not a typical Lonnie deal and I’ve been warned NOT to stray too far from the party line…
I feel really good about our relationship with this guy though. He has had to turn away about 15 to 20 buyers who simply needed financing. In fact, I’ve already received 2 referrals from him since our conversation.
I’d love to hear your input. We haven’t entered in to any deals yet…we are trying to anaylize this thing from all angles as you can imagine.
Re: Private Land Deals: Do I need a helicoptor? - Posted by Karl (OH)
Posted by Karl (OH) on January 04, 2001 at 19:23:18:
Wasn’t the helicopter necessary because the private land was surrounded by other private lots owned by family members? If I remember that story right, the bank couldn’t cut across other private property to get to the trailer they wanted back.