Selling Mobile Homes with Owner Financing

[Michael Noto]

The podcast with John Fedro really opened my eyes to the strategy of buying mobile homes and selling them with owner financing.

I just had some basic questions regarding this strategy and specifically buying the mobile home in a park/association setting:

-What is the typical term length and interest rate that is offered to a buyer buying a mobile home though owner financing?

-How much is typical for a down payment in these types of transactions?

-Once you sell the mobile home, if it is in a park the new owner pays the lot rent fee to the community, correct?

- If priced aggressively and if favorable financing terms are mobile homes relatively easy to sell? I just am thinking in terms of holding costs between the time you buy until you can sell.

Any help with answering any of these questions would be great. I am thinking after listening to John's podcast some may have similar questions.

Thanks!

[La Nae Duchesneau]

I do lease to owns on mobiles and I ask for $500 down and then my monthly payment for 2, 3, or 4 years depending on how much I bought the mobile for and how much I put into it.

I charge 10% interest. Lot rent is included in the monthly rent because you do not want them to not pay the lot rent and then you don't even know that they didn't pay it and they get evicted plus you get evicted. So always pay the lot rent for the lease to own term. They will pay the lot rent when the contract is over and that is when you sign the title over to them.

They are super easy to sell and you will get 50 calls.

Remember they own the mobile so you are not liable for any repairs. However, if there is a repair and they cannot afford it, I will pay for it and they can pay me back. You don't want your mobile to fall into disrepair during the lease to own period.