Home-turned investment property!

[Debra Martin]

Investment Info:

Mobile home buy & hold investment.

Purchase price: $29,000
Cash invested: $5,000

2 bd/2 bath on .75 acre lot. Not in mobile home park. Natural spring-fed pond and tool shed on property.

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

We purchased as our primary home as our first step to get out of renting.

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

For Sale by Owner sign out by the road.

How did you finance this deal?

My credit union did their first mobile home loan including real estate, due to the assessed value being over 40k.

How did you add value to the deal?

Removed overhang cabinets in kitchen to give it flow,
New flooring in livingroom, hallway and master bath,
Repaired furnace,
Replaced hot water tank,
Repaired garden tub in master bath and water damage underneath home,
Repaired tub surround and replaced fixtures in hallway bath.

What was the outcome?

We lived in property for 2 years and it has been rented by the same tenant for the past 2 years. They're interested in an option to purchase.

Lessons learned? Challenges?

Always get an inspector and find a lawyer to create a relationship with.

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

We love SUNY Fredonia Federal Credit Union. They are a very small, hometown lender. We did not work with an agent for this deal.