Mobile Home Seller Financing with Buyers Paying Me Lot Rent

[Kristin Faircloth]

I want to offer Seller Financing on mobile homes that I own in my park. Buyers will be required to rent the lots from me, at least until the home is paid for. Can anyone else who does this give me a copy of a good contract that addresses this situation? Very new to this particular situation and I really need some help.

[Mike G.]

@Kristin Faircloth 

***DISCLAIMER*** I am by no means an expert however my first hand experience with this stems from when i was a Lonnie Dealer in other peoples parks taking back notes and seller financing. I know you said its in your own park. However, I learned the hard way and thus i feel it is my obligation to share knowledge and insight where i deem necessary. I am NOT saying that what your looking to do cant be done, but it is a slippery slope with many moving parts that after educating yourself about, you may decide not to proceed. So with that intro out of the way here are a few questions for you as well as some resources to give you a intro briefing on this topic. 

Also the fact that it is your park could make the circumstance different. There are a few experts that come to mind in here that post on these forums that would know in greater detail about your situation. 

what state are you trying to do this in?

Are you familiar with the Dodd-Frank "Safe Act"

In many states there are strict predatory lending laws in place to prevent seller financing to "low income individuals". I would highly suggest that you do some research on this before you . . . 

Put a contract together that could get you in trouble. 

Act as  LO ( loan originator) without being property licensed to do so. 

Some states they couple a manufactured home dealer's license with a Loan origination license which can be (depending on the state requirements) a long and expensive process. 

Dodd-Frank

Predatory Lending

I hope you find this helpful in making your decision to do seller financing. . . .