Mobile home investing

[Justin Johnson]

Some questions regarding mobile home investing.

Most of my private lending deals have been with SFH, 13 years, 11.7% annual interest. With these I plan on buying and seller financing immediately. With an outside investor, what kind of returns are they seeing and with what time frame. I'm trying to be creative, but it's hard to recreate for me for some reason. I understand that I can take care of the cost of a single mobile home but I'm trying to figure out how to scale more efficiently.

What is the most cost efficient way to transport a mobile home to a mobile home park? I’ve seen everything from 1k-5k for short distances (under 50 miles) and 5-10k for longer distances. Do you make deals with the mobile home park owner to help on the moving cost since you’re raising the value of their park? I’m trying to find a way to not spend as much since the asset class is already not an expensive one for a single unit.

I’m super eager to start and have a vision for mobile homes, any advice would be great and would send me in the right direction of taking action. Looking forward to sharing my journey with you all!

[Rachel H.]

@Justin Johnson If you're planning on moving mobile homes to a mobile home park, then "yes" you may want to check with the park to see if they offer any moving costs. I've done this throughout my mobile home investing career and have worked with parks who have paid my moving costs. 

Aside from the move, you'll need to figure in the cost for hooks ups such as water, electrical, gas, and air conditioning. Also, you'll probably need to get new skirting as the old skirting may be in bad shape. Porches and sheds are another issue if you plan to move them. 

Before the move, be sure you put trip insurance on the home just in case. Your insurance provider will need to know the exact date for the move in order to put the insurance on. Make sure all items are secured in the home including taping any cabinets and toilet seat covers. One last thing, be sure the hot water heater is drained before the move. The last thing you want is for water to spill all over the place while the home is in transit. 

Hope that helps!