All Forum Posts by: Daniel Mills

@Sam Parkins 

Thanks for sharing your experience.  I don't think that there is a federal license, only a requirement for getting a state license.  But, I didn't even realize that I needed to be looking into any of this until yesterday.  On the other hand, both mobile home salesmen that I talked to yesterday also flip homes (I didn't know that before approaching them about properties they had listed for sale) and I don't think they were necessarily wanting any competition. And no, I don't have any plans to manufacture mobile homes! :D

@Andriy Boychuk 

What you say sounds reasonable, I don't see how selling a few makes you a dealer.  I read the PA laws regarding licensing for dealers, but couldn't find a definition of what makes you a dealer.  I want to follow the rules, but if we have to set up a separate business location this is a non-starter.  Is there somewhere that I could confirm the 4 mobile home exemption or is that something that you learned as part of the licensing process?

My wife and I were hoping to start flipping mobile homes but I found out today that I might need a dealer license.  I get the impression that it is a federal requirement, but that the licensing is done through the individual states.  Does anyone have experience with this?  I think we would have to establish a dealership, including office space (PA law requirement) before we even got started.

Thanks!

Thanks @Jerry Lucker ! My wife and I visited a large mobile home park near our home yesterday and I spoke with their receptionist and maintenance guy.  We will be going back on Monday to meet with the manager and look at several available homes in need of rehab.  We drove around another four parks near our home today to familiarize ourselves with the other options in our area. 

Hi Jerry,

My wife and I had our first foray into real-estate investing last year with a city row-home. (It turned into a big headache and we ended up trading it for a 2000 GMC Yukon.) This year we have more capital to invest and were thinking to buy a more expensive house (~25K and in a better area), but we don't want to risk all our saving at once. Now we are wondering if we should give mobile homes a try due to the lower cost of entry. What you are doing sounds like exactly what we are interested in. So, if you don't mind, I have a couple of questions for you or anyone else:

1. Do you make mostly consmetic updates to the mobile homes or do you do major updates as well?

2. In your experience is it possible to sell for a decent price without offering financing directly?

3. Any particular warning signs to look for when choosing a property?

I know we will need to jump and learn for ourselves like we did last time, I just would like to get a little info first.

Thanks!!!
Daniel

Hi @Richard Rheker have you found a property to rehab yet?

@Brandon Turner Thanks for the suggestion!

@John J Sweeney If I remember correctly things are pretty inexpensive in that area. Do you think the numbers will work out? Of course my first property is in Reading... I suppose a low purchase price is key.

@James Skelton Well, he only took the small stuff. (I think he must have used bolt cutters.) I think he tried to come back the next night because the back door, which I also boarded, up looked slightly kicked in. I am pretty sure that he has been to the vacant property next door several times over the past few days... I can see now why having vacant properties on a street is bad for everyone. When I look along the back yards everything is nicely maintained except for these two properties.

The electric is turned off right now, but I will try leaving lights on once we get that far. Thanks!

@David Krulac Thanks for the invite. I can't come tonight, but would be interested in the future. Is is held every third Thursday?

Regarding Municipal Ordinances, I think the window blocks would be legal in Reading. The two relevant portions seem to be here:

PM 304.17 Guards for Basement Windows. Every basement window that is openable shall be supplied with rodent shields, storm windows or other approved protection against the entry of rodents.

PM 404.4.4 Prohibited Occupancy. Kitchens and nonhabitable spaces shall not be used for sleeping purposes. Basements shall not be used for sleeping purposes unless they conform to the specifications of this code and the required minimum window area is entirely above the grade of the ground adjoining. The basement and bedroom in the basement shall meet the emergency egress requirements of this code, the International Building Code, the International Existing Building Code, the International Fire Code and the International Residential Code as adopted by the City of Reading as applicable.

The first quote seems to imply that basements can have fixed windows. So, if I am reading this correctly (no pun intended) as long as no one wants to put a bedroom in the basement there should be a problem with needing to meet any codes regarding windows.

I am planning to sell not rent, but don't want to limit the purchaser's options if they want to rent. Any more thoughts on this? Should I call the city and ask? I do know I can't bar the windows per a local police officer who came by after the break in.

@David Krulac I have the windows covered with 3/4 plywood right now. It is currently screwed to frame and seems pretty solid. I guess carriage bolts would be better though. Have you sold houses with windows boarded up? Does it affect the resale value?

@Dawn Anastasi The windows aren't too big. I do like the idea of glass block if I can't figure anything else out. There is a door so egress isn't a problem.

@Carl Schmitt Are you referring to something that you screw over the window or is the actual window made out of something unbreakable?

@Tom A. Thanks for the ideas and the video link. It does look impressive. I agree about a would-be thief running out of steam. That guy in the video looked exhausted! Have you used these products on houses that you own?

Also, what would stop them from just prying the window open and never minding about the glass? Wouldn't the latch be the weak point?

Incidentally, I have their crowbar since they left it next to the back door on the way out!