All Forum Posts by: Carl E.

@David Dachtera Have you decided to pursue developing with Modular homes?

We have just completed the first stage (14 duplexes) of a 44 unit development in Central Indiana for a group of developers out of Chicago. The developers are thrilled at the cost effectiveness and pre-rented nearly all of the units. I'd be happy to talk more on this if you're seriously interested in pursuing this development option.

@Manolo D. what kind of margins are you making on the build?

@Alonzo Avents, there is a lot of information out there about mobile home park due diligence. I would highly recommend listening to "Real Estate Investing for Cash Flow" podcasts by Kevin Bupp. He is strictly a mobile home park guy, but he brings in a lot of heavy hitters in the MHP industry as well as other related industries (finance, apartments, note buying, etc.).

IF the due diligence pans out (and please please make sure you're educated before diving into a mobile home park), TAKE THAT SELLER FINANCING AND RUN WITH IT! Seller financing is becoming harder to come by these days, so if you can get it, run with it.

Depending on your investment criteria, I may have a park for sale soon that could interest you.

@Account Closed, what is your acquisition criteria and geographic area? I may be selling my park soon.

@Rebecca Amy, most likely it would not be worth it. While you may be paying as much as you would in property taxes, the real issue is that when you place a mobile home on someone else's land, you are not building any equity.

@Manolo D. Getting that kind of equity when building a modular home is actually pretty common. We're building a home for a customer right now who will probably have about 25k in equity in their home on their total purchase price of 185k.

Most of the cost savings from utilizing a modular construction method come from the efficiency gained from building the homes in a factory environment. When someone does the same job all day every day, they get darn fast at it :)