I just attenede a seminar and the presented the great opporotunity there is in mobile homes. This is the scenario, the mobile home that I want to purchase, the management requires that the owner must live in the home. Now, I am not going to live in the home, but at the seminar I attended they said to use seller financing, since I am acting as the bank, then I don’t have to live in the home. Also, they said to use a promissary note. I know I am missing something or completely don’t know what I am saying lol! But, can someone advise me how to get around the “owner has to live in the home” scenario. thanks
Find a different park with different rules. If the management has the rule about you living in the MH, it’s because they don’t want a bunch of MHs being rented out on their property.
Now if you sell the MH on a note and you are doing the financing, the person who buys it will own it while you have a lien on the title. MHs are not considered real estate. They are personal property with a title like any car or truck. Yes, you definitely would want a promissory note for the loan. You want some type of legal document that states the buyer owes you a certain amount of money with a specific interest rate. If you need samples of promissory notes, I’ve found www.docstoc.com to have plenty of free examples. You can search on there and also check to see if your state requires specific wording in the document.
I posted a link for Lonnie Scruggs’ Deals on Wheels book in another thread a couple days ago. He seems to be the master at doing this.
Justin is write on partner, get the book and read it. I will point out one thing though in my area people are catching on to this so get prepared to act fast. Park owners are too.
herbster
If it is an owner occupied only park, they are going to also going to pre-approve anyone who moves in. You’re going to have an uphill battle doing business in that park where they don’t want you.
Find another park to work in, and your life will be easier.
Better yet, instead of parks, try to find mobiles on their own land.
Better yet, find a nice park and purchase it and you can do all the Lonnie deals you desire… Albeit, rehabbing a park is not for the weak minded.
Ken