Welcome back to another Saturday strategy lesson for mobile home investors. In the video below we are talking about a major aspect of your mobile home investing business… Advertising your message to the correct owners and sellers.
The more mobile home owners & sellers that see see your “We Buy Used Mobile Homes” message the better.
Advertising: Quality Vs. Quantity
Maximize your advertising budget by targeting high-priority sellers with a greater likelihood of needing help. Example: It subjectively better to spend less money on mailing 100 “I want to buy your mobile home” letters to receive 20 calls from motivated sellers VS. sending 1,000 letters to receive the same 20 calls. This is the difference between knowing 1) where, 2) how and 3) when to find your sellers VS. blindly mailing to everyone with a mobile home.
The example above discuss mailings, but mailings are just one small piece of the marketing and advertising puzzle. No matter which advertising you choose, always aim to track your expenses, calls, and who exactly your marketing to and why.
After you press “Play” on the video below wait 30 seconds for the Audio to sound better. (You’ll hear what I mean… After 30 seconds the skipping will go away.)
After you press “Play” on the video below wait 30 seconds for the Audio to sound better. You’ll hear what I mean… After 30 seconds the skipping will go away.
Your weekly time allowance?
It may be wise to make a 12-month plan for your advertising plan of attack. Advertising is best used on an on going basis. Very few investors have ever gotten rich from only a single round of advertising. Be conservative at making your time commitments in your daily plan… Make sure that you can stick to these time-based-advertising-activities every week. Slowly start to challenge yourself to increase this advertising amount for more leads. Keep what methods are working and stop what is not working to attract sellers or buyers.
Your money allowance for advertising?
Start with free methods to find and attract mobile home sellers. Then move to effective and inexpensive methods to find and attract sellers. How much money do you have to set aside for advertising purposes?
In conclusion you will never learn everything you need to know about real estate investing from reading books or watching videos. While there are many ways to make money in real estate, there are countless ways to lose profits as well. Have fun and take daily action to reach your financial goals. If you have questions, ask them. There are plenty of active investors around to give you help and guidance if you simply ask for it.
Love investing daily by being confident always,
John Fedro
support@mobilehomeinvesting.net
Related mobile home investing videos:
.
I ran out of cash reserves to apply to the business.
Hi Bill,
That sucks, but it’s not a life sentence. It doesn’t take much money to get your message in front of sellers. I let me members know it typically takes $200-$500 to get to your first profitable deal.. Then another $500-$2,000 to get into the home. This is a combination of some of the most basic and affordable types of advertising and purchasing techniques. Hope this helps you see you’re still in the game.
Best,
John
As a member of John’s MHDMF program I should say that he really puts emphasis on marketing and constantly growing your business. As far as your question about my most memorable advertising moment it would be when I made the decision to sit down and commit my time and money to my business. This was hard for me to justify at the time, but now I understand that consistency is key to finding sellers. Put my money where my mouth is! 🙂
Sincerely,
Sue Macco
Hi Sue,
You have certainly stepped up and decided to take your own future in your hands. When not seeing the results you wanted you did what was suggested and created (and followed through) with your marketing budget to find sellers and buyers. Advertising really is the life force of your business.
Thanks for commenting,
JOhn
Hi John, So good to get this from you at this time. I became discouraged after doing 5 deals because I ran out of money and I found I didn’t like spending so much of my time doing the actual rehab on units. The last one I did was I found a double wide in a fam park that I bought from the county due to the owner having died and not having any living relatives for 2K! I put 5K of my own money in and sold it for 24K. Sounds good except I accepted someone in (sibling) with no down pmnt money, so I accelerated first year of pmnts to makeup the no-down-pmnt status. The high sales price came as a result of marketing for 19K and then the over-time payments will make it ultimately 23K. It’s taking a bit of time to build up cash reserves after that. I was encouraged when recently I made an offer that made sense. This came directly out of your training. It’s a beautiful single with little to no work needed. Seller wants 8K. I can and have sold units this clean, (after I got them that way!) for 12K with your fantastic structure and paperwork system. I offered her 6K if she’d take pants over time. She is considering it. She said her daughter told her not to sell it for any less than 6.5K. I offered to help her move, (she’s 85) and I’m going to meet her daughter this week upcoming. She really wants to not have the space rent and is ready to move. She hasn’t had much response for her price from her sign. I am thinking of offering her no $ down, (I don’t have any) and get the highest down pmnt from a buyer for her unit. Then, depending how much the down pmnt is, share it with her and structure pmnts accordingly. Or I can attempt to find an investor who simply wants a return rather than an equity stake, and use that money as a down pmnt and (have them be the beneficiary of the trust? [thoughts?]) and structure her pmnts accordingly. Longer than I thought. Thanks for your input..Tony
Hi Tony,
Great to hear from you and congrats again on the deals. Email me over some photos of these past deals if possible.
Concerning you having little capital now… Having little to no capital available is a good way to force you to 1. structure great win-in deals and 2. become great at pitching/offering/selling these purchase-offers to home-sellers. I hope that last sentence made sense. 🙂
The point I am getting at is the win-win offers you suggested sound very good. Make the seller a 2-3 offers… One offer should be the partnership offer your mentioned. Arrange a partnership offer where the seller adds you to the title or PPT (for no money exchanged), then you use all your advertising ninja skills to sell the home for top dollar and split the profits (after you are paid back for all your advertising expense and holding costs). This “partnership offer” will often times be the highest priced offer so make this offer last. However if only $500 is separating you from this Title, make the concession and close the deal.
If the seller is willing to truly sell at $6,500 and you can add this to the backend – do the deal. Make sure the payments to the seller are delayed 3+ months after you get a tenant-buyer into the home AND the make sure monthly payments work to make you profit as well as pay the seller their money due.
When you say you can you sell this one for $12k… Is that in all-cash or in monthly payments?
Best,
John
P.s. Send over pic of this home for sure.
Hello John,
Just would like to say a HUGE Thank You for all the tools and experiences you’ve been sharing! Once I’m back States-side look forward to putting these techniques to work!
Best, Paul
Hi Paul,
Thank you for your kind words. We are happy to have you here too. Get in touch with us once you are ready to get started moving forward. If you have over 10 hours per week to dedicate to this business and don’t mind helping others you can likely get your next mobile home deal in less than 30 days from the time you actively start looking for homes.
Best,
John Fedro
Great info,Thanks John
JOHN: JUST GETTING STARTED SO I’VE GOT TO GET GOING.IS THERE A BEST ONE
TO GET STARTED WITH ?? AS MONEY IS TIGHT,BUT I KNOW ADVERTISING IS
IMPERATIVE,AND TIME IS TIGHT ALSO.JUST WHERE WOULD YOU PLACE
BANDIT SIGNS,ALSO DO YOU NEED PERMISSION FROM THE PARK MGR.TO DO
DOOR HANGERS ??
REGARDS
AL
P.S. PLEASE RESPOND !
Hi Al,
Please see my answers to your questions below.
1. IS THERE A BEST ONE [advertising method] TO GET STARTED WITH?? AS MONEY IS TIGHT,BUT I KNOW ADVERTISING IS IMPERATIVE,AND TIME IS TIGHT ALSO. >>Answer: There are certainly advertising and marketing methods that work better than others for finding motivated mobile home sellers. Also, there are methods that do not cost much money at all (but may time some time) such as driving through MH areas looking for FSBOs, calling FSBOs, networking with other investors, networking with park managers, other free searching online and offline, and as you mention below- hanging bandit signs.
2. JUST WHERE WOULD YOU PLACE BANDIT SIGNS? >>Answer: In zip codes saturated with mobile homes. NOT in any MH parks.
3. DO YOU NEED PERMISSION FROM THE PARK MGR.TO DO DOOR HANGERS?? Yes, and 9 times out of 10 you will not get permission, but it is worth the ask to show your serious about homes in this park manager’s community. But you may be able to hang a flyer on the community bulletin board with permission.
Everything is discussed and shown to you step by step in my training formula mentioned on this site.
Best,
John Fedro
JOHN: WHEN ONE FINANCES THE PURCHASE OF A MOBILE
HOME FROM THE SELLER,WHO HOLDS THE TITLE OR
IS THE NOTE (A PROMISARY NOTE) ENOUGH TO AQUIRE
THE TITLE.
REGARDS
AL
Hi Al,
There are multiple types of situations you may be referring to however I will assume you are referring to a mobile home in a park that is for sale from a private seller and selling to a private buyer. With that said if the seller is selling his/her primary residence than a signed and/or notarized Title may be enough to transfer ownership and place a Lien on the mobile home, depending on your state (I would need to know the state first to say for sure).
Best,
John
JOHN: THANK YOU SINCERELY FOR YOUR RESPONCES TO MY
QUESTIONS,YOU REALLY SEEM TO BE A STAND UP GUY !!
PLEASE LET ME KNOW WHAT IT WOULD COST ME TO BE A
MEMBER OF YOUR SQUAD OF STUDENTS,AS CASH IS REALLY
TIGHT AS IT PROBABLY IS WITH SO MANY OF US OUT HERE
AT THIS TIME IN OUR PRESENT ECONOMY.COST OF LIVING
KEEPS GOING UP ALL AROUND US,AS YOU WELL KNOW.
AGAIN (THANK YOU)
AL
Hi Al,
I am happy to help folks like you that are actively working and making daily effort to achieve their goals. With that said I am here to help and I thank you for your kind words. I will email you more info on the program to get started or simply click the “Training” tab above to learn more.
BEst,
John
JOHN: I WOULD GUESS THERE IS SALES TAX ON THE CASH PURCHASE OF
A MOBILE HOME LOCATED IN A MOBILE PARK EVEN THOUGH IT HAS
NEVER BEEN MENTIONED IN ANY TRAINING THUS FAR. IS THERE
SALES TAX IN PA.?? THANKS AGAIN FOR YOUR RESPONCES TO MY
NUMEROUS QUESTIONS,AS YOU WONT REGRET IT.
SOON TO GET WITH IT !!
REGARDS
AL
Hi Al,
Every state is different. As you may know some states have no sales tax and others do. PA has a sales tax between 6% and 8% depending on the local municipality. Hope this helps.
best,
John
How do you build a buyers list. I have purchased a few mobiles at very good prices, but now ready to sell them?
John,
I am a huge fan of the site and your training. Thanks for putting all this together to help us newer Mh investors.
Thanks again!
Hi Paul,
Thanks for commenting. I am so happy to have received value from these articles and videos.
Don’t hesitate to reach out should you need any further assistance investing.
All the best,
John
John- as always, thanks for the great information! My goal today is to put together a marketing/budget plan!!
Hi Shevaughn,
Thank you for commenting and for your kind words. A marketing and budget plan is great to give you clarity on what you will be doing to attract and find leads locally. Do keep in mind that this plan should change as you test new marketing and advertising methods. The budget will likely only change when you start making a profit to then reinvest back into your business.
Hope that made sense.
Talk soon,
John Fedro
Hi, this is such an awesome video! For our family businesses (my husband details cars, and I groom pets), we put door hangers out ourselves, so I class is as “time” rather than money. They aren’t too difficult to put together on the computer, half sized lengthwise. Cut, down the middle and use an exacto knife to cut an x where the door knob goes. It takes a whole afternoon to cover some area or you could do one street a day, for a year, or what ever you want) we generally(for our unrelated businesses)need to get 100 of them out there to start generating and calls at all. And you certainly wouldn’t want stop with just that. You can hire teens to do it. I wish we could do mhp’s but I think you said that that’s generally frowned on by the management? So, would we go to neighborhoods where there are a lot of mobiles, but not in parks?
Hi John. the owner of a home in a park will let me buy their home for payments over 24 months. How would you handle the title? Should I take title in my name and give them a lien on the title? Btw, your comments on clarity and commitment to work this business every day is great advice. Thanks….
Hi Rick,
Thanks for reaching out concerning this issue. Thanks for the kudos and kind words! Congratulations on being available and negotiating this win-win payment arrangement. Because you are the person/investor buying the home I would suggest that you place your name on the title as owner and transferred into your name. You will also place a lien on the title which will alert the state to send the title to the lienholder (a.k.a. the seller) until you have paid them in full. In short, this is all pretty standard and very easy to do. Sellers and buyers have done this many many times before. Make sure you have agreements in place protecting both you and the seller. Have you set a closing date? How did you last leave it with the sellers? If you have any file questions or concerns never hesitate to reach back out. Keep up the great work.
Talk soon,
John
I havent set a closing date yet. I would like to see (more) of the inside of the home. At least better than I did the first time. There was tons of stuff around and I couldnt get a good look at the flooring. Overall, it looked good. I told the seller that I would contact them this week. I also need to contact the park manager and make sure all is well with the sellers (no back rent etc.) and to make sure she is ok with me buying the home and selling it.
In Florida, there are a large number of “upscale” snowbird mobile home parks. In a hardship situation, you can purchase a home (usually from the surviving family member for around $ 7,500, rehab it for 5K to 8K, and put it on the market and sell for around $ 30,000 to $ 35,000.
I own a Brokerage and am going through licensing to become a used mobile home Broker to take advantage of this market opportunity.
My wife and I are Cancer survivors who used everything to pay medical bills and we are trying to restart from square 1 with the advantage of being an investor since 2005.
We are seeking a “Funding Partner” who would be willing to invest $ 15,000 into a JV deal on one of these… We would acquire, rehab, list and sell, pay back and split the profits… and if the partner wants to… do it again and again to help us get back to having a life after our ex-President cancelled our health insurance.
God Bless…
Hi John,
Thank you for reaching out and connecting. Additionally, thank you for your detailed comment discussing the plan that you and your wife have. Congratulations with regards to both beating cancer! Please know that these upscale senior mobile home communities vary from community to community. With that said I’m sure you know the comparable numbers you are looking for and what may constitute an attractive opportunity. However if you have any specific questions never hesitate to reach out any time now or moving forward. You can always email me personally with specific questions or pictures of a deal you may be considering. It is very easy to do a skinny or risky deal by overlooking a few simple things. I hope this helps and make sense. As always, if you ever have any questions or concerns now are moving forward never hesitate to reach out any time. All the best. Keep in touch.
Talk soon,
John
John,
Thanks for sharing all of your knowledge. As the old saying goes “Knowledge is power “…But only if you use it….
I am a Real Estate Investor and I have flipped 100’s of homes in my area.
I started buying used mobile homes about 3 years ago because I knew the day would come when buying renovating and selling single family homes would get
very difficult, and I was wanting to get passive income.While flipping houses
I acquired 21 mobile homes, Some owner finance and the others I just rent.
Do you keep some of your homes as rentals or do you find them to costly to maintain.Any suggestions or ideas is welcomed…
Thanks, Don
Hi Don,
Thank you very much for reaching out and connecting. Additionally, thank you for the brief history about yourself. Congratulations with regards to the your current and previous real estate investments! I have no doubt that these deals did not come without a great deal of hard work and daily effort on your part. Absolutely fantastic work!
With regards to your question, I absolutely do keep some of my mobile home portfolio both inside parks and on private land as rental properties. I’m also owner financing some mobile homes on private property I own that I am simply renting the land out indefinitely. I hope this helps and starts to point you in the right direction. With that said I don’t think I’ve told you anything to new or mind blowing. Moving forward if you have any follow-up questions or concerns please never hesitate to reach out anytime. Always happy to help if possible. Keep in touch. And keep up the great work!
Talk soon,
John