All Forum Posts by: Jon Dorsey

Looking at properties around AL and though Birmingham is big enough and has a low  cost of living, the median household price is lower than I’d like which gives me pause in trying to establish a TOH model. I was
looking to see what your experiences have been renting lots or homes to residents in this area. 

Looking at properties around AL and though Birmingham is big enough And has a low  cost of living, the median household price is lower than I’d like which gives me pause in trying to establish a TOH model. I was
looking to see what your experiences have been renting lots or homes to residents in this area. 

Anyone deal with mobile homes in this area?

Guess it depends on what you want to do with it. 

Lots of opportunity to increase occupancy if the area needs affordable housing, but look into why it hasn’t filled up. 

Look at lot rents and see what market rents should be.

Get a better understanding of how you would manage it and handle utilities. 

What’s the asking price, $1.1M?

POHs do make for enticing cash flow but you have to keep up on the maintenance and repairs. You’re better off keeping the MHs in good working order than letting them die and having to resurrect them or scrap them and bring in new homes. This comes to tenant screening and enforcement of rules. Good luck. 

Why do you want to get out in 5-10 years? What is your plan after exiti?

I don’t understand the 2 payments to the seller. Are you doing a lease-purchase-option with additional principal payments?

To your questions 1 year of seasoning is usually enough, might have to do some shopping around. Do it early so you have a lender lined up and ready to go before your ballon hits. Have backup options (hard money) too in case. 

You are basically buying homeowners insurance on it. Should cost $100-200 for the year. 

It’ll be tough to find financing for a $49k property. 
1 well is not an issue as long as it’s working and the holding tank has enough capacity. 
Do your diligence on the infrastructure and homes.