In need of advice on my offer!

[Tristan Thomas]

Hey guys,

I'm a new investor and am trying to hash out my first deal. I came across a mobile home that sits on its own 9,000 sq/ft private land. Its a 1987 2 bed 1 bath 14x60. The owner has no idea what she wants for it but owes $21,000 on it still. The home is in good condition just needs cosmetics and washer/dryer. I'm having trouble finding a value on the home and also making an offer. I called the city tax assessors office and found out that the land is worth $18,900 and the building is worth $22,200. This may be what they assessed it at but there's no way it could sell for $41,100. I could rent it out for $1000/month. My question is what would your advice be? I was thinking I would offer her what she owes on it. She's a motivated seller trying to wash her hands of the property. I would be willing to offer to take over her payments for 2 years. Put taxes, insurance, and utilities in my name. And at the end of two years take out a loan to pay her the remainder of whats left on her mortgage. What do you guys think about this deal? or the evaluation of the property's worth?Advice? different approaches?

Thank you so much in advance!

-Tristan Thomas

[Chris Seveney]

@Tristan Thomas - is the lot rented ? Who pays utilities ? 

Getting $1,000 rent on a mobile home seems extremely high but run the numbers of costs and expenses and make a fair offer.  Typically your only play on mobiles is cash flow or owner financing so take into consideration what your end game is