Posted by Jack-NY on June 14, 2000 at 21:34:32:
If I were you I would ditch the NADA and the Blue book real quick. These “so called retail values” are way out of wack.
This is why mobile home lenders have a lot of bank repo’s, specially used mobile homes. The lenders would rather sit behind their desk and pull out the NADA book, and say “Yep this 1978 home is worth $21,000” The lender gets the home back from the deadbeats, only to find out realisticly the home on the open market is only worth maybe $10,000.
Example: I looked at a 1978 2bedroom/1bath nice shape. The owner has a $6500 lien on the home, he paid $14,000 for the home. The owner stated the bank advised him the current BOOK VALUE was $21,000, imagine that! We can buy new homes for invoice at $16,000.
Suggestion: Locate a good creditworthy buyer, with a least 10% downpayment, structure a good note, and then sell your note to one of the mobile home note buyers.
With a good buyer you may not need any seasoning of the note, with a small discount, take the money and re-invest.
Hope this helps…
“The bottom line is to STUDY and know your local market like the back of your hand”