Manufactured Home in Parkton NC - Great cashflow!

[Richard Mercado]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $92,000
Cash invested: $6,569

Large 4/2 Manufactured home in Parkton, NC just South of Fayetteville. The challenge with this one was obtaining a conventional loan as we could not obtain a Fannie/Freddie loan on a manufactured home, unless it was our Primary residence and of course this was intended as a rental. We ended up going with a DSCR interest only loan and left about $12k in the deal. This property is still cash flowing nicely and has had great appreciation as well.

What made you interested in investing in this type of deal?

Property was in great condition and needed a simple cosmetic rehab to get it rent ready. The large floor plan included a Living room, Den, mud room, & laundry room which allowed us to secure higher rent making this a great cashflow opportunity.

How did you find this deal and how did you negotiate it?

This deal was found on the MLS. We were able to negotiate with the seller to replace the roof before closing.

How did you finance this deal?

This property was purchased with cash then we refinanced 6 months later into a DSCR loan.

How did you add value to the deal?

Cosmetic rehab of $6K was all that was needed.

What was the outcome?

This property is still cash flowing nicely and has shown great appreciation as well.

Lessons learned? Challenges?

This property is still cash flowing nicely and has had great appreciation as well.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Our agent Carly Hansen did a tremendous job pulling this deal together.