Welcome back,
Mobile home investors are attracted to this niche for several reasons; the ability to help others, creating a value in society, and to generate a substantial income when safely selling attractive mobile homes at attractive prices to hard-working buyers. However, another reason folks are attracted to this industry is the ability to take a neglected mobile home and restore it to a beautiful and pride-worthy home. This is now a mobile home that will be loved and cherished by grateful new owners.
In the video below we walk through a neglected manufactured home. The case-study below is a great example of a not-too-uncommon mobile home seller scenario – a mobile home in need of repairs. This is also known as deferred maintenance.
Definition: Deferred maintenance is the practice of an owner postponing maintenance activities such as repairs on both real property and personal property in order to cut costs and save money.
Mobile Home Makeover With $15,000+ Profit
Mobile Home Investor Questions & Topics Discussed in the Video: (Times are provided to fast-forward video if needed.)
✔ 0:20 The 2 reasons for this video.
✔ 1:32 Driving 2 hours to the mobile home.
✔ 2:08 Due diligence with the park manager before removing the home.
✔ 3:08 What a $1,000 mobile home looks like?
✔ 3:20 Landscaping while removing a mobile home from a park.
✔ 4:07 Inside walk-through of the mobile home.
✔ 5: 25 Driving to the county courthouse to confirm taxes, liens, and ownership.
✔ 6:15 Not fully trusting sellers.
✔ 6:30 Finding more back taxes than expected.
✔ 7:31 Keeping away a few hundred dollars until the home is clean and empty.
✔ 7:55 Taking title and celebrating.
✔ 8:25 Transferring ownership from the seller to your control.
✔ 9:02 Transferring title at the local courthouse (this location will vary per state)
✔ 9:31 Why you should transfer the title next day?
✔ 10:32 Walk through before and after pictures.
✔ 10:54 Description of repairs.
✔ 12:04 Always wear protection.
✔ 12:46 Outside mobile home repairs.
✔ 13:20 Bathroom – before and after.
✔ 14:13 Repair costs outline
✔ 14:30 Purchase price and selling terms
✔ 15:23 Video recap
✔ 15:45 Sabotaging myself
✔ 16:40 The wrong mindset to have as an investor.
✔ 17:40 Everything we bring to the closing table as investors.
Disclaimer: A mobile home does not need to be below $1,000 to be a good deal. In fact “free mobile homes” are sometimes not good deals at all. The purchase price has little to do with being a “good deal” as long as the home or home/land can be resold for a substantial profit. There are many things that go into your due diligence before purchasing a mobile home. Perhaps the most valuable due diligence data is the realistic amount you will be able to rent or resell the manufactured home for monthly, or all cash, or bank financing.
Did you spot how I sabotaged myself in the video?
At 15 minutes and 45 seconds into the video above we discuss how being aware of the words you are saying can lead to errors in your thinking. Even after 14 years investing it is difficult for me not to fall into this trap. Author’s note: This trap is easy to spot in others, however it is hard to see when it is happening to yourself. Always have clarity and invest in real estate with logic.
As manufactured home investors it is our job to help provide options for sellers. There are few places in town for sellers to understand the true values of their homes. An honest investor that understands the local market will do his/her best to educate sellers to all their options; the seller’s options with you and additional helpful methods to sell themselves. Our job is to educate. As investors we can help by…
- Purchasing unwanted mobile homes.
- Paying All-Cash or payments or other.
- Buying mobile homes with title challenges.
- Purchasing mobile homes that "must be moved".
- Closing quickly.
- Purchasing mobile homes in As-Is condition.
- Allowing the seller to remain in the home a few weeks after closing if needed.
- Providing additional methods to resell
Do you have any mobile home questions? Please tell us below.
Love what you do daily,
John Fedro
support@mobilehomeinvesting.net
.
23 Comments
Geoffrey
February 4, 2016Another great post! I did not catch what you said the first time around about wanting the home so badly. It took me a minute to understand what it means to be an emotional buyer. Ive been there and usually paid the price for it. 🙂
Geoffery
John Fedro
February 4, 2016Hi Geoffrey,
Thank you so much for reaching out and commenting. I hope you did not overpay too much with whatever you were buying when you were an “emotional buyer”. With that said, that is one of the best ways to learn and hopefully never overpay again. Keep in touch if you have any specific investing questions never hesitate to reach out anytime.
Talk soon,
John
Douglas
February 4, 2016Interesting!
John Fedro
February 4, 2016Hi Douglas,
Thank you for commenting and reaching out. I hope this video was helpful to you in some way. To date, your comment is definitely the shortest I’ve ever received. 🙂 Keep in touch and if you ever have any questions or concerns never hesitate to reach out anytime.
Talk soon,
John
Fred Numpor
February 5, 2016Hey John, Another great posting. If anyone has any mobile questions I always send them here. Fred
John Fedro
February 7, 2016Hi Fred,
Thanks so much for reaching out and commenting. Very glad to hear that these posts have been helpful to you thus far. If you have any questions moving forward never hesitate to reach out anytime. Always here to help. Keep in touch.
Talk soon,
John
Michael
February 5, 2016Hey John, great info was wondering what would be the oldest mobile/manufactured home you would buy to move. And I know that can be a big question. I’m buying no older than 1985 and newer to move. Seems like older ones to me have many problems when transporting. And some movers don’t want the responsibility/liability on it. What was the year of the one on the video? Always great content you give. Thanks
John Fedro
February 7, 2016Hi Michael,
Thanks so much for reaching out and commenting. Additionally, thank you for the kind words. They truly made more than you know. The only time I consider age a factor is if I’m planning on reselling the home for bank financing or transporting the home within some counties/states. I agree with you that if the home has to be moved and it is older than a certain year, some counties will not allow the home to legally be moved. Besides this I would never negate a home simply because of its age. I have been in homes that were from the 1960s that look better than some from the 2000’s, I’m likely sure you can relate to that as well since you have some experience. Lastly, the home in the video is from 1981. I hope this all helps and makes sense. If I did not fully answer your question please never hesitate to reach out anytime. Keep in touch.
Talk soon,
John
Gabe Girard
February 11, 2016Hi there! I just found your site and love the content. I have been an active investor in mobile homes for over 15 years and love the fact that there are other like-minded people. Great info and content. I’m asked often what the best investment in real estate is and I often reply the best ROI will be with a mobile home. However, I’m sure you’ll agree- mobile home investing isn’t for everyone, which is fine with me!
Thanks
Gabe Girard
Author of Being the Bank
Amazon.com
John Fedro
February 11, 2016Hi Gabe,
Thanks so much for reaching out and commenting. Additionally, thank you for connecting. I’m always interested in meeting other active real estate investors. Congratulations on all your past successes thus far, I have no doubt that they did not come without a great deal of hard work and daily effort on your part. Keep up the great work. If you have any topics or questions for future videos or articles please never hesitate to reach out anytime. Always here to help. Keep in touch.
Talk soon,
John
Donna
February 13, 2016If were to purchase a park and all of sudden you have a major expense. Can you get loan against the park as like a heloc with single family home?
John Fedro
February 14, 2016Hi Donna,
Thank you for reaching out and connecting. Very good question. If you were to purchase an entire mobile home community than you could absolutely refinance the park to pull out available equity in the community. With that said there would obviously have to be a bank program that would fit for your type of community. What I mean by this is that every community has different vacancies, park own homes, infrastructure, location, P&L, etc…. All lenders have different requirements when it comes to this criteria. In short, obtaining a re-fi loan on a MHP is tougher and more strict than a traditional SFR. I hope this all helps and makes sense. If you ever have any follow-up questions or concerns please never hesitate to comment back anytime. Always here to help. Keep in touch.
Talk soon,
John
Dave
February 16, 2016John,
Why did you fix up the mobile home before you moved it ?
New siding and new steps .
Love the videos !
John Fedro
February 16, 2016Hi Dave,
Thank you so much for commenting and reaching out. Additionally, thank you so much for the kind words. My mistake on not being clear on the timeline concerning when I transported the home VS. rehabbed it. A few days after I gave Stacy the $800 might mover moved the mobile home roughly 2 hours away and into my park. Once it was sitting in the park we then had it cleaned and fixed up.
With that said, If the mobile home was too damaged to be transported then I may have done some repairs while it was currently in the park that we moved it from. This is not the case and I did not want to pay any extra holding costs and I would have to so as soon as possible we move the home and then started making necessary repairs. I hope this helps and makes sense. If you have any follow-up questions or concerns please never hesitate to reach out anytime. Always here to help. Keep in touch.
Talk soon,
John
Steve
February 21, 2016Hi John, I find your niche to be very interesting and would like more information about it. Do you provide mentoring and what are the costs for your program?
John Fedro
February 23, 2016Hi Steve,
Thanks for commenting and reaching out. If you click the tab above that says “members” you will be forwarded to a page where you can click a link to receive more information about the programs and coaching I offer. Please know that whether you are a member of this training and coaching or not I am happy to answer any questions or concerns you have moving forward. Thanks for following along and checking out the site. Keep in touch.
Talk soon,
John
Dave
February 25, 2016John,
Would you consider doing a video on a mobile home inspection ?
I.e. How to inspect the plumbing, electric, roof etc… Before you make a offer ?
Thanks,
Dave
John Fedro
February 26, 2016Hi Dave,
This is a great suggestion. Absolutely, I would love to make a video like this coming soon. Thank you for the suggestion again, Dave.
Talk soon,
John
Talon
March 2, 2016John, once again, thank you for being a genuine man of character. All your videos are like shows and lessons in themselves. Thank you again, Talon
John Fedro
March 3, 2016Hi Talon,
Thank you so much for saying this. This means more than you know. If you have any follow-up questions or concerns please never hesitate to reach out anytime. Keep in touch.
Talk soon,
John
Michael
May 8, 2016Hello John,
My delima is that I purchased 2 acres of land in upstate ny with a neglected 70’×14′, 3 bedroom, 2 bathroom trailer on the land. I bought it during a very bad emotional time in my life. I did not get it inspected because I listened to the seller whom I worked with and my father who said why waste the money. I had my well tested on my own , yet didn’t have the same insight to do the trailer. Like I said, I have a well, septic, electric pole, electricity, cng gas forced air boiler,wood burning stove. Utility pole for the electricity on my property within 50ft of the trailer, 60′ drive way(in need of work, possibly item 4) with the 12’pipe at the street going under the driveway.
The previous owner hid the mold issues due to roof leaks that he hid with paint, plastic sheeting and new ceiling tiles.
Now I’m retiring and would love to move into this trailer. The purchase was made about 8 yrs ago. Can I sue the previous owner for deceitful hiding of the mold. I stayed there on weekends along with my son who lives on the west coast now.
Do you think renovation of this trailer that I’ve neglected for a few years after finding the mold and because of the effect of my personal tragedy which made me weak and vulnerable to being scammed and also causing a non caring attitude.
Before I go too far, my neighbor upstate and the seller were friends when I bought the place, but are not friends according to my neighbor because the seller also scammed my neighbor, so he says.
I’m going up this week to evaluate the work needed to make it livable and to also price a replacement. Which option would you advise. It’s a big and was beautiful inside before the neglect.
Ps- is it possible to keep mice from entering trailer houses? My last visit the mice had the run of the place, so bad, I don’t think anything cloth is salvageable according to my neighbor who talked me into giving him a key until I noticed he helped himself to my trailer as if it was his own.
Thank you for any advice
Michael
John Fedro
May 10, 2016Hi Michael,
Thanks so much for reaching out and connecting. I very much regret to hear about your situation and the feeling that you got scammed eight years ago. I do think it is a bit too long to go back and sue the seller, however I am certainly no attorney or legal professional. With that said please feel free to email me the pictures you take over the weekend of the interior in next area of the home. A new mobile home can cost $30,000-$50,000 to purchase and have set up, will probably take a lot less to fix the mobile home you have on your land. With that said, that absolutely may not be the case. In short, there is much more we still need to know and please feel free to send me pictures so I can make a better evaluation and offer you better help. I hope this all helps and make sense. Keep me posted.
Talk soon,
John
[…] Related Video: Mobile Home Makeover With $15,000+ Profit […]
Leave A Response