Survey for the board...How many of you actually... - Posted by Bruce

Posted by Steve-WA on April 19, 2006 at 18:24:44:

the person creating the MH room must login to the main chat room to gain access to the tools, but once the room is created, it is as Jad says - no password required for trailer trash -, uh, MH Investors .

Open chat, select the MH room, and enter. One could login to the main room, then shift rooms, but it is not necessary.

Survey for the board…How many of you actually… - Posted by Bruce

Posted by Bruce on April 17, 2006 at 13:44:49:

Own a mobile home park? I read all posts on this board but seldom respond or post myself. I have all the respect in the world for Lonnie and Tony but let me say, reading a book on auto mechanics does not make you a mechanic. Reading a book on cooking does not make you a chef. Reading a book on MHP ownership does not make you a quality park owner or manager. I read posts from perspective MHP purchasers and I read the replies and I often wonder if the people giving this advice actually have any practical experience. I certainly understand that the books are a reference tool and while they provide some really good input,they certainly do prepare you for the hands on ownership of a park. To be honest most times I highly disagree with the responses to alot of these type questions. So I ask all of you…how many of you own parks? I will start off with myself owning 2 parks and doing 15 Lonnie deals at present. I am anxious to hear the breakdown.

Re: Survey for the board…How many of you ac - Posted by Eddie-Mi

Posted by Eddie-Mi on April 19, 2006 at 10:01:05:

Bruce,

Theres a lot of people here who are knowledgable about the MH business. There is a chat on this website here every wednesday that is very good- you should stop in and talk shop and we can get into the details as to the differences you mentioned.

I worked at an MH Park exclusive brokerage group for about a year. They also owned and operated about 20 properties in 4 states (average size was about 100 units per property). People here would CREAM these ‘experts’ in the way they buy wholesale. I personally have done 4 or 5 lonnie deals and also own a 30 lot park that i picked up 3 years ago. Right now I am focusing on getting the park 100% filled- need another 3 or 4 homes. I just bought 3 units (1989-1992 14x70 3 bedrooms/2 bath)for about 1500 each. Buying wholesale, transporting them, setup and prep is expensive, but longterm it is better to own the land. Although nothing beats Lonnie deals over short term.

you said: - Posted by Steve-WA

Posted by Steve-WA on April 18, 2006 at 21:18:48:

“I read posts from perspective MHP purchasers and I read the replies and I often wonder if the people giving this advice actually have any practical experience. . . To be honest most times I highly disagree with the responses to alot of these type questions. . .”

To exactly what types of disagreeable responses are you referring? Park valuation by numbers? Handlng tenants? Unit repairs?

If you’re going to tear us down, at least give us the courtesy of seeing the supposed errors of our ways.

BTW, I do not own a park, but I hold leases and contracts on dozens and dozens of individual MHs, in parks and on own land.

I (we) encourage disagreement, with followup explanation. That is how we learn.

Teach me Bruce.

We?re all here to learn? - Posted by Ryan (NC)

Posted by Ryan (NC) on April 18, 2006 at 08:11:46:

As a fairly new park owner knee deep in two turn around parks I can honestly say that I’ve used just as much advice from other park owners as I have from those that are not in the last couple months. Owning the dirt that the homes sit on doesn’t make you any better or more informed it simply means you have a couple more exits and a longer term investment, with this comes added reasonability and headaches that may or may not be someone else’s cup of tea.

There are many ways to make money in this business and it don’t matter which route a person chooses so long as they have a plan and work that plan to make it reality. Regardless of which route a person chooses we all have an opportunity to learn from each other here at a very reasonable price! Sometimes the advice is worth what you?ve paid for it but most of the time when really bad advice is given it’s pointed out very quickly. If you disagree with a post or have something to add please take the time to post your thoughts, it might just be the perspective that helps someone else on a given topic.

Best wishes,
Ryan Needler

Re: Survey for the board…How many of you - Posted by rise2it

Posted by rise2it on April 18, 2006 at 24:35:34:

7 unit park - 5 homes, room for 2 more (grandfathered in) - water and septic already going to those two, but I’ll probably have to redo the electric to them.

Biggest mistake I made - overdoing repairs while flopping back and forth between deciding on renting/lonnieing the units.

Upside is that 2 years ago, I didn’t know a wall stud from a floor joist. Now I can do just about everything (except Electricity, which I leave to the experts).

Final decision/plan. Renting 2 out (1 section 8) which easily covers all expenses, and selling (lonnie style) the other three.

Three I’m selling (plus the 2 additional ones to add and sell) will pretty much pay off the loans on the park.

At that point, it’ll be free and clear - collect lot rent on the lots, plus I’ve still got the 2 rentals, which I can continue to rent or always sell later.

Looking for another park now - hoping to go 20-25 units this time around.

Things that helped immensely…
(1) This board
(2) Mr. Landlord board
(3) Lonnie’s books
(3) Ray Alcorn book, which saved me a ton of $$$ during negotiations, and teached about ‘due diligence’.
(4) Tony and Scotts ‘boot camp’. Tons of ideas, but most importantly completely changed the way I ‘price’ property now when I’m looking to buy.

** Pitch for their next boot camp - If you’re serious about this business - GO. It’ll be the best money you ever spend. Fabulous and helpful bunch of people there.
**

Re: How many of you actually… - Posted by Sailor

Posted by Sailor on April 17, 2006 at 18:10:38:

I don’t think owning a park necessarily makes one more qualified to give advice. Some of the best advice I’ve rec’d has been from non-park owners, many of them owning far more units than I have in my MHP.

I do recommend, Bruce, that you participate often. I learned several decades ago that the best way to learn is to teach someone else–

Tye (whose 1st teaching job was a college sex ed class)

Re: Survey for the board - Posted by Joe

Posted by Joe on April 17, 2006 at 17:26:34:

I don’t own any parks, but I’m curious to hear what the numbers are on your two, if you wouldn’t mind sharing.

Thanks Bruce

Joe

chatroom times… - Posted by Eddie-Mi

Posted by Eddie-Mi on April 19, 2006 at 10:11:07:

For those that don’t know, the Mobile Home Chatroom gets going on wednesdays at around 9:00 PM EST - sometimes it starts a little later. The password is candycane4234.

Re: you said: - Posted by Bruce

Posted by Bruce on April 19, 2006 at 09:04:18:

Steve, The reason I do not post is to avoid tearing people down, so i take exception to your “tearing us down” comment. As far as the disagreeable responses, handling tenants is certainly an personal situation,repairs are also personal judgements based on what you want as your end results. I see time and time again advice given on this board to a particular question and often there is not enough facts to base an opinion on. Market condition vary across this country to such a large degree that I myself, operating on the east coast would certainly never offer advise on whether numbers will work in the Midwest. So here is what I am willing to teach you… you said…“BTW, I do not own a park, but I hold leases and contracts on dozens and dozens of individual MHs, in parks and on own land” This is what you call APPLES AND ORANGES. This concludes your lesson for the day. Recess is now in session.

Re: How many of you actually… - Posted by osupsycho (OK)

Posted by osupsycho (OK) on April 18, 2006 at 09:12:39:

Tye,

That is hilarious… my boss was wondering why I was rolling around laughing so hard!!

Jad

Re: chatroom times… - Posted by osupsycho (OK)

Posted by osupsycho (OK) on April 19, 2006 at 12:59:59:

Usually the person setting up the room (look for mobile home title of some sort) does not password protect it so you don’t have to enter in the candycane4234.

kgkgkgkgkg - Posted by Steve-WA

Posted by Steve-WA on April 19, 2006 at 11:43:50:

I am not worthy! I am not worthy!

You must see, I do not give apple advice for an orange situation, as you seem to imply. I understand the difference - duh.

I also have been evaluating and juggling numbers for parks for a few years, as well as other commercial properties and residential. If and when I offer my opinion, I do so understanding that some knucklehead may take my word as gospel (woe be to he), and try to temper my response to prevent that. My strongest advice may be simply what I would or wouldnt do, and my reasons why.

And just because a person owns a park (or more than one) does not make them any wiser than someone else - I know people who bought parks with no upside and negative cashflow. Should I take that guy’s advice?

Thanks for coming in and setting me/us straight; look forward to your further analyses (that’s plural for analysis, if the Spelling Cop is lurking) as time progresses and questions arise.

LOL! - Posted by Anne_ND

Posted by Anne_ND on April 19, 2006 at 10:10:44:

Nice job “avoiding tearing people down”.

Anne

Re: you said: - Posted by Tony Colella

Posted by Tony Colella on April 19, 2006 at 10:07:05:

I see both sides of the experience argument. I have always been an advocate of the old idea of taking advice from those who are actually succesful in what you wish to do.

However there are also weekly questions that are repeated and answered time and time again here that even a new investor reading the site for some time can give an educated response.

Conversely I have often argued against the patented responses from books etc. that I personally do not feel are accurate. In most cases, the folks providing the answers did not have personal experience but had good intentions.

It is up to others like you and I for example, to post our difference of opinion, if we have one, and base it in fact to help others learn. We are no better than the bad advice if we sit by idly and allow it to remain unchallenged.

Your example of numbers being too generally talked about and not applying from one location to another is accurate in some regards but not entirely accurate in others. Although this site does not take an editorial policy against the accuracy of advice, I do make a personal attempt to offer counter evidence and opinions when I read posts that are too broad in stroke or outright inaccurate (in my opinion).

For example, I have argued for years that I value income properties by what I call the checkbook analysis because it is simple math, uses real numbers, and when the investor pays themselves first, they know exactly what they can afford to pay per month while building their profit in. I argue that Gross Rent Multipliers, Cap Rate formulas etc. are too easy to make mistakes that can hurt an investor badly as well as being completely fictitious to what the park owner will face the day the take ownership. Others argue quite differently and quite often the posts of ?it?s a good deal or bad? are based upon an analysis I disagree with. When these posts are made, it is a good time for folks like yourself to help by posting a difference of opinion. If you don?t then others may logically assume the advice to be accurate.

It is all well and good to point out problems but unless we are part of the solution, we are part of the problem.

I hope to see your park posts in the future.

Tony

Re: chatroom times… - Posted by Tony Colella

Posted by Tony Colella on April 19, 2006 at 18:07:46:

Huh?

Not that I have much of an understanding of how the chatroom portion of the site works regarding the password etc. but I think you need that code to even get into the chatroom. From there you are correct, no password is needed. Once you have signed onto the chatroom with that password you can enter the general chat or the room formed that night for mobile homers.

Maybe I’m wrong.

Tony

Re: kgkgkgkgkg - Posted by osupsycho (OK)

Posted by osupsycho (OK) on April 19, 2006 at 13:03:03:

Steve,

Keep repeating your mantra there because it looks like you have really turned a corner with that last post. :slight_smile:

Why is it you that always gets this type of responses though…???

Jad

PS
haven’t seen the spelling cop in awhile…