All Forum Posts by: Luke H.

My tenant’s health has declined over the past few years, and her two grandsons (not listed on the lease) have started staying overnight regularly to help care for her. I’ve shifted the lease to a month-to-month arrangement to maintain flexibility. However, the tenant has expressed that she doesn’t want to leave and even said this is where she would like to spend her final years. The family is now requesting a new one-year lease.

Has anyone dealt with a similar situation? I want to be compassionate, but I also want to protect the property and ensure proper occupancy. Any advice on how to handle this—especially regarding long-term lease terms, unauthorized occupants, or potential liability?

0 Votes

If I’m getting a healthy number of leads, I typically respond with something like:
“At this time, we’re not adjusting the rent, but I’ll keep your contact information in case anything changes.”

In my experience, when someone asks to lower the rent or split the deposit into payments, it can be a red flag.

On a broader note — just my opinion — the rental market has shifted. There may be more tenant inquiries overall, but the qualification quality has noticeably declined. It’s more important than ever to screen carefully and stick to your standards.

5 Votes

Quote from @Dan Deppen:

Quote from @Luke H.:

Quote from @Joe S.:

Quote from @Luke H.:

Happy New Year to all reading this!

I am considering purchasing empty lots priced roughly $10-15K below market value.
My plan is to offer owner financing for the land.
These lots have water, drainage, and electric connections available, and mobile homes are permitted.
The area is experiencing significant development, with the lots surrounded by new single-family homes.

I would really appreciate any advice, feedback, or suggestions.
Thank you

It would help if you shared what you plan to buy them for other than just saying they’re 10 k to 15 K below market.

List Price: $55K
My Offer: $45K

Planned Value Add:

Install fence
Build driveway
Create a mobile home pad

Exit Strategy:

Sell via owner financing
Considering the option of adding a mobile home as well

If you like this post, please consider voting!

What are the costs for the value adds, the expected hold time, and the expected sale price?

Working on getting solid quotes on these items.
Thanks!

0 Votes

Quote from @Joe S.:

Quote from @Luke H.:

It would help if you shared what you plan to buy them for other than just saying they’re 10 k to 15 K below market.

List Price: $55K
My Offer: $45K

Planned Value Add:

Install fence
Build driveway
Create a mobile home pad

Exit Strategy:

Sell via owner financing
Considering the option of adding a mobile home as well

If you like this post, please consider voting!

1 Vote

Quote from @Sherry McQuage:

Make sure to check the zoning to make sure mobile homes are permitted there; check for any hazardous waste designation for the area; will you need to have the parcels surveyed out in order to sell the size you intend? You said public water was available...would the lots require a septic system to be installed or is public sewer available? If a septic system would be required, you may want to check if the lots will perc. (You said you could purchase them $20-$15,000 below market value. Why are they so cheap????)

We all invest in real estate in order to make money, and keep in mind that someone who can only afford to live in a mobile home and seller-finance to buy the land is probably tight on funds. Maybe also consider if they are "good people" that work in the community and just want a safe place to raise their family. Money is...important, but it's also a way to make a positive difference in people's lives. Just putting that out there.

"Be the change you want to see in the world."

I appreciate your feedback.
- Mobile homes are permitted I've verified with the recorded restrictions and by calling the Property Owners Association.
- Current owners have surveys, this is a new subdivision.
- Public sewer available.
- Current owners purchased many lots and they haven't developed them. They are listed at market value, but I made a discounted offer to purchase a few of them.
- I prioritize building strong, professional relationships with my buyers by taking the time to understand their needs and goals. I maintain these connections by reaching out annually to check in and see if there’s anything I can do to assist them further.

If you enjoyed this post, please consider voting!

1 Vote

Quote from @Dan Deppen:

Quote from @Luke H.:

Quote from @Zach Howard:

Quote from @Luke H.:

You want to purchase the land with owner financing or sell it that way?

I think you'll have to show more numbers to see whether whatever you plan to do makes sense or not.

I plan to sale the lots that way. I plan to offer owner financing to others that can't get a loan.
Should I price the land 2 times above market value and offer a low interest rate
OR
Price the land at current market and use a very high rate?

I'd do the latter. It will make the loans more valuable if you ever decide to sell them and decreases the chances of default.

Would the buyers/borrowers be purchasing with the intent of putting a mobile home on the property and making it their primary residence? If so you'll want to follow Dodd Frank and the other consumer rules.

Yes, buyers will make it primary residence with mobile home or build single family. If I use a RMLO service I assume they cover the Dodd Frank and other consumer rules? Or am I mixing things here? Thanks

1 Vote

Quote from @Mike Grudzien:

OK, I'm going to take a guess at deciphering.

You have the means to purchase and intend to offer owner financing (you) to the buyers of your lots.
That sounds pretty straight forward as long as you are able to carry the loans and deal with any defaults.
I don't have a background in raw land deals, so that's all I got.

Thanks for the feedback and I will keep these things in mind as I move forward.

1 Vote

Quote from @Mike Grudzien:

I agree with Zach. I can't tell if you want to buy land from an owner who finances or if you have the funds to buy and then sell the lots with you being the owner who is financing to individual lot purchasers?

I have the funds to buy the land and then sell the lots with me being the owner who is financing to individual purchasers.

1 Vote

Quote from @Zach Howard:

Quote from @Luke H.:

You want to purchase the land with owner financing or sell it that way?

I think you'll have to show more numbers to see whether whatever you plan to do makes sense or not.

1 Vote

All Forum Posts by: Luke H.

Luke H. has started 87 posts and replied 379 times.

Post: Tenant's Health in Decline Family Staying Overnight

Post: Potential tenants asking for lower rent

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots

Post: Owner Financing Empty Lots