Mobile Home Investing in Indianapolis

[Jennifer Fields]

Hi Everyone,

Is anyone familiar with any mobile home parks in the Indianapolis area that allow investors to purchase a mobile home within the park, and then lease to own it to a tenant once any improvements have been made? I was prepared to make an offer on what would be my first mobile home, only to be told that the person that purchases the home must live in it. I mentioned that the tenant would actually own the MH, although a lien would be held on the property until the payments were completed. I also stated that any tenant would be directed to complete the park's application process. The park had several empty lots, so it seems disadvantageous for them to turn away prospective tenants that would be open to purchasing the home.

[John Fedro]

Hi Jennifer,

First things first, great job reaching out to the seller and making contact with the park manager as well. It sounds like when speaking with the community manager you were professional, courteous, sincere, and humble. This is what we should definitely aim to be when speaking with park owners and managers. We also want to use the correct verbiage and let the manager know that we will not be renting/subletting the home and do intend to keep it in the park and sell to an end buyer. It sounds like you have done this in the manager was still giving you some pushback for a variety of reasons, including the fact it sounds like she just didn't want to work with you in the first place. I mention this because of all the requirements you mentioned in your second comment these are all overcomeable when dealing with the community manager that sees the value in working with you.

The way I see it you have a few different options at this point. You may try to purchase the home without becoming approved at the park or transferring ownership into your name. At that point once you find a buyer you will transfer the title from your seller to the new buyer and remain on his lienholder potentially. However this option will be frowned upon via the state and park, plus other complications, if you are found out. You may also try to simply wholesale the home to an end buyer however this may or may not be possible depending on your exact area and the exact community. Additionally, you may pass on this current opportunity and keep revisiting this park manager to let them know you are not a "fly-by-night" operation and you are here to stay. Once the manager sees your face a handful of times they may welcome you more readily into the park.

However with all this said it definitely sounds like this community is not very warm or open to you being in the park at this moment. I would encourage you to reach out to other local parks in your area to reach out to these managers and owners if possible. I regret that I do not have a "magic bullet" to give to you that would solve all of your problems however some (few) park managers end up killing our deals that we have worked out with a motivated seller. However there are definitely more parks and more sellers to talk to and aim to help if possible. I hope this all helps and starts to point you in the right direction. As always, if you ever have any follow-up questions or concerns never hesitate to comment them back here and I'm sure we will all be able to help you and assist you when possible.

Great advice for everyone else as well.

Talk soon,

John