Mobile Home Deal near Rockford, IL

[Byron Sellers]

Investment Info:

Mobile home fix & flip investment in Loves Park.

Purchase price: $500
Cash invested: $3,200
Sale price: $9,500

Rehab on Mobile Home that took 5 months. We initially wanted a family on payments, because we were attracting any cash buyers. But the rehab had to keep getting pushed back because this was our first mobile home rehab and our handyman was only available on Sunday's. A few surprises such as the discovery of mold and bad electrical wiring extended the rehab process. It was a great learning experience, and being patience made us $6000, a 171% ROI.

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

It was a very low cost to get started and was not as risky.

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

We found the deal on Facebook from the park manager. We received the home in a package deal, which the park originally wanted $1500 for this home and $6000 for 2nd home. We negotiated it down to $4300 for both and with 6 months lot rent.

How did you finance this deal?

We used our own cash.

How did you add value to the deal?

We rehabbed the home from un-livable to a very nice 2 bed 1 bath mobile home. The park manager loved the rehab and we gave the home curb appeal while giving a gentleman homeownership.

What was the outcome?

We received a cash buyer and a potential new handyman who can do work on potential new homes in the area. Pending once we see his work.

Lessons learned? Challenges?

Even though the labor was cheap, thats why the rehab took 5 months. That was our biggest challenge was being patient and knowing it would pay off in the long run.

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

No