Greetings. I am a newbie to this discussion forum. I would like to know about investors purchasing notes on mobile homes with no land. The mobile homes are located in subdivisions. Any information is appreciated.
The actual mobile home depreciates just like a car and just as fast. They aren’t even financable once they are over 10 years old.
If you aren’t careful, your note wouldn’t be secured by anything that has any value at all.
:cool with land is the only way >>> you are really having a note on the land JUST like waht has all ready been posted a 10 year old mobile with out land is a thing only worth what some one is willing to give and make sure they pay it all off at sale
It looks like there are some lenders getting back into the lending market on manufactured homes on leased land. GE Capital is now lending on homes. There is a market for mobile home notes but you will usually need to discount the note to yield a 21-25% return.
I have sold seral note before, But if you are going with a home 10 year old or older only buy with land if it is not a cash sale. 10 years or newer. I buy and leave in the park. [/url]
I have 2 notes that I bought on mobile homes 6 years ago that is STILL paying me every month. I haven’t looked into financing them lately, but the conditions are similar to 6 years ago when I got into these 2. I for one, like my monthly income. I think as the RE market (and credit conditions) contintues to deteriorate, there will be more opportunity for note buying or mobile home financing.
A good book to read is Lonnie Scruggs 'Deals on Wheels" and its later companion book ‘Making Money with Mobile Homes’ It explains all the ways to make money selling older mobile homes on seller financing and what to do with the notes for big profits.
There are several resources out there for individuals that need refinancing or cash-out on these properties…back to 1976 sometimes. Yes, they are usually on leased land and that is okay. There are still several lenders that will work with these on their own land as well, and the terms are usually very good unless their are no comparables.
BTW what rates do you have on these notes that you want to sell??