Manufactured Home Financing

[John Hausauer]

I have a 1994 manufactured home available to be purchased for 70k. Currently this home is being rented by long term tenants for 750. They have expressed that they do not want to leave and would happily pay 800/month.

On a 30 year fixed this is a home run. However, because it is a manufactured home, and will not be owner occupied, i'm being told I cant move forward with that product and my best option is a 20 year/5 year ARM.

Running the numbers i'm still showing a 16% CoC and 25% 5 year annualized. Which still seems like a good deal especially considering this property is turn key and has extremely stable tenants.

My question for you guys is, am I just being a sore loser? Its not as good of a deal as it was but it still seems very good. Secondly, are there other financing options that I should be considering for this? The 5 year ARM just doesn't seem super appealing. I don't know where rates will be in 5 years.