Sold a MH to an FHA buyer--$14K profit

[Jon Klaus]

I just closed yesterday on a 10 year old double wide on one acre. I bought it 6 months ago with the intention of renting it out, but the rental market in the area was weaker than I anticipated and it is pretty far from my other rentals, so I decided to sell.

I advertised FSBO for a little while and then listed with an agent who had a few acres for sale next door. It languished for 3 months (yes, way too long) at $54,900 and I dropped it to $49,900. Then the agent quit RE, and it got assigned to another agent. She had a buyer. FHA and she had experience getting mobile homes done via FHA. The buyer qualifies for the first time buyer's tax credit.

The numbers:

Purchase: $19,515
Rehab, holding and selling costs:$11,990
Total cost: $31,505

Sales price: $45580.
minus -$31,505
===============
Profit $14,075

I have 3 about to go up for sale now, hopefully I can do at least as well on each.