150k help me find it.

[Kyle McDonald]

This is where I am, in my investing:

I currently own a mobile/rv home park 16 spaces/units. Its grossing around 8k a month. I am closing on a foreclosure in the next week or so, that I paid 78,500 for it. As of right now that house is worth about 200k, once I am done with rehab should be worth around 250k . My current home will become a rental and since its nearly paid for it will be enough to cover the payment of the new house. I plan on moving into the foreclosure when its done and using the equity in it to buy more properties. I find out Monday if we got the bid on another potential rental that would qualify as a section 8 house. The details on it is 30k total after rehab in it and should get about 900 per month.

The missing 150k:

Back when we acquired the mobile home park I started looking for others, well I was calling trying to find who owned one close to where I live. By complete mistake I got in touch with a elderly gentleman that has a park and is ready to retire. The park right now is fairly empty and is making 3500 gross per month, with the land and all the available spots, and a lot of elbowgrease it could do 20k a month no problem. Oh yeah he said he would sell for 150k if you haven't guessed that by now.

The first park we got was owner financed, this guy wants to sell but is not interested in OF. With our local banks it would take years for all the red tape to get 150k for a park, so I am kinda out of ideas as what to do for the 150k. Any ideas would be awesome because its going to suck to miss out on this thing. Especially now that I already own one and know what not to do, this one would be way easier to get rolling.

Thanks guys!
Kyle Mcdonald/ Mobile, AL.

[Account Closed]

@Kyle McDonald deals like this are usually more suited for a hard money lender. We bought a park in Atlanta that was an REO 32 space park. It had 32 park owned homes and all of them were vacant. Banks don't sell on creative terms and no bank would ever touch a vacant property like that so we used a hard money lender to fund the debt. Part of our agreement to him was to put all of our repair money into escrow so he could be certain the $100+k we needed for renovations actually went into the property. That deal became a massive success and we are refinancing him out now.

We are also currently working on another, very similar REO deal. We will again use this same hard money lender to finance the entire purchase and we will again inject roughly $100k to turn this one around. Hard money lenders are perfect for your situation.