All Forum Posts by: David Denzy

@Nathan H. I am a broker that specializes in Manufactured Housing and something that I've noticed in selling parks where a portion of the home inventory is RTO is that it can be tricky for a buyer and seller to agree on value. For example, the title for a traditional park owned home lies in the hands of the park owner. If a new buyer is taking over the titles on all POHs and RTOs when they buy the park and a resident is close to paying off their home (let's say $1,000 left in payments on a $10,000 home) but defaults, then the new owner owns a POH that they can turn around and sell that home for more than they paid for the scheduled home payment collections. But, as a buyer, you're not going to want to pay more than $1,000 for the title to that RTO home because the resident will likely complete their payments and become the rightful owner of the home.

Just some theory that I thought I'd share. I hope that it was relevant and made sense. 

Regarding an action plan, I'm thinking that it'd be a good idea to sell the land and not include the RTO homes in that sale. You continue to collect home payments ONLY while the new park owner is collecting lot rent. In the off chance that the resident defaults, then the new park owner can then purchase the home FROM YOU. Just my two cents.

How many lots is the park? 

Michael, 

I was using TLO for some time but got banned. I'm curious to hear if you found any alternatives? I'm simply using peoplesearchnow at the moment. 

@Chris Ebert Thank you for your input

Hello everybody,

If you were to build a 3-person dream team for acquiring and operating mobile home parks, what 3 kinds of people/skill sets would you choose?

I’m seeking experienced investor’s advice. This is what I’m thinking:

1. Deal finder (cold caller/market analyst/information gatherer)
2. Evaluator/Underwriter (financial modeling expert/banking connections)
3. General Contractor (someone who can advise on cost of renovations, etc.)

Honorary mentions:

1. Attorney (background in RE or contract law)

@James Miller Hey, thank you. I began watching his channel and it's great. Just realized that he only lives about 45 mins from me. 

MHP Investors,

Have you had luck sourcing used mobile homes from Wholesalers? If so, do you have recommendations for mobile home specific wholesalers?

@Frank Rolfe Thank you, Frank. I will proceed with caution. 

Hello MHP investors,

Has anyone ever used a hard money lender for a MHP? If so, any recommendations or referrals that you can point me to would be great. Also, if you'd like to share ltv/rate/terms that you've received that'd be helpful. Please let me know. 

Thank you @Jack Martin

 This is helpful. Thank you for clarifying your stance on the topic. 

In my case, the structures are within the park and not easily subdivided. I find it interesting that you would view the income from these ancillary structures as part of the real property value, like you view lot rent. But, it makes sense. I was under the assumption that since it is a community owned structure, it be viewed more like a community-owned mobile home. 

Because these ancillary structures (stick built cabins) are attached to the land, would you count all of the rental income from these structures in the overall "lot rent revenue"? *As long as you include their expenses, of course.