All Forum Posts by: Jeffery R Stensland

@Justin Swinney

Welcome to Bigger Pockets, keeps us updated on your adventures!

@Lance Hummel welcome to Bigger Pockets,

I see there has been numerous discussions on this topic, if you don't get a reply try the search function. I can't believe how cheap those space rents are, they run $500+/mo here.

I Agree @Cassi Justiz, The roof estimate ended up being about 1k  more than expected and it would be a couple months before they could apply it. I do think there's a play in "affordable" manufactured home living, just not this one. I do anticipate having a cash price and an owner carry price/option, with a sizable down payment. 

For those of us jut starting out,                                                                                                                                                       In a booming (geographically) market is it better to just get something going and take less profit or keep looking for a better deal? I should clarify my interest would be a fix and flip, trying to find a price where the numbers are solid. I think my girlfriend and I are going to start with a single wide with me doing the majority of the labor. If I factor in the hours I'll spend it's not a very good wage, I have done a lot of construction and with me still getting my business established I find myself with extra time. I think we can get the trailer for 4K (they're asking 4500) and a couple months of free space rent, repairs I have estimated in excess of 6K (  new roof, flooring, kitchen and bath full remodel, a few new vinyle windows, get furnace operational?, new drywall on ceiling in about 50% of home, paint,........) then market it and hope it sells before rent (500/mo.) eats up all the profits. There are limited comps in the area but feel we could list at 15k +/-. Inadvisable?

Are you making any progress on the park @Jacob Brattain? Any chance of finding a place that may have repo'd(?) or foreclosed homes and work something out with the agency holding them? I like your idea of leveraging your existing POH tenants by offering them the units that you wouldn't want to hassle with, maybe work an offer to give them the units contingent on a certain amount of extended lease time and at the same time bump the space rent up. I'm no MHP expert but I would imagine in a small town there would be a fine line in raising space rent high enough to push out the "problem" tenants but not the good ones, raising rates at the same time your'e offering them a home would seem to soften the hit though.

Did you get anywhere with your idea @Patty Puckett? I have had a simular idea of puting together a subdivision in conjunction with a manufactured home supplyer going in on the funding of the development with the rights to sell their homes with the lots. It seems like a good way to sell manufatured homes as real property and get better financing, just an idea at this point.

@John Fedro                                                                                                                                         Thanks so much for the follow up, I appreciate all the info!

Jeffery

@Curtis Reid did you move forward on the subdivision? I'm not yet a REI but when I came across your idea the thought that came to mind would possibly be working with a manufactured home distributor(?) or manufacturer to provide some homes ? I'm thinking a bit like a builder building a spec house in a sub, work out some arrangement for a cut you would make off the sale. Seems to me it would be good exposure for their homes, and makes it easy for buyers to move right in if it's already set up. Best of luck.

I should have added that space rent in the parks that this co. ownes or manages is $525/mo. water, sewer, trash and 5yr contract. I was hoping to be able to work a deal with them on space rent for the first couple months but they don't sound like they're into dealing. Would dealing with management companies that won't work with you be a deal breaker for you?