All Forum Posts by: Jeffrey H.

Have you already read these?

https://www.in.gov/bmv/2486.htm

and

https://secure.in.gov/sos/dealer/files/IC_9-22.pdf

It seems pretty straightforward.

In the context of this thread an installment sale is the owner financing of a mobile home in exchange for payments using the installment method.  They key difference between an installment sale and rent credit is that rent credit was designed to work around Dodd Frank, SAFE Act legislation.  With installment sales this is considered a mortgage on a dwelling, and so compliance with those is deemed necessary (see many other threads on the topic).  Rent credit is like renter's earning Southwest Airline miles that are redeemed as a means to purchase any available home in a MHP for a given number of credits (more or less equivalent to the home's value).

Be prepared to address the scenario when something big breaks that the resident cannot afford to repair.  Then what?

Under rent credit we will fix the issue and then capitalize the value of the home to (somewhat) recover it upon credit redemption.  I suspect there's an equivalent mechanism under installment sales.

Your mileage may vary.  Good luck.

For bedrooms that small your best option is a window unit or mini-PTAC.  Mini splits will be overkill and I have never found a new one for under $500 retail.

Depending on your water quality and maintenance associated with that you need to consider a tank vs tankless option.  If you go tankless an option is a couple strategically placed gas units that service everyone, but then you have to consider submetering that cost (if you're allowed to use RUBS then go that route) vs putting in individual units.  You will never recoup your investment on solar unless your state, city have some great tax incentives.

There is an entire section in the forum for Mobile Homes and Mobile Home Parks.  Search the forums, and ask specific questions as there is a ton to know related to zoning, repairs, titling, etc.

There are smart devices that can plug into your electric panel (see Energy Curb for example), but you would still need to figure out internet connectivity so you can remotely monitor it.  Also, there may be state regulations as this would be considered a form of submetering, and you need to ensure that you follow the procedures that are outlined for compliance.

A couple things to consider: 

1) Ensure you have an idea of highest and best use (probably retail it sounds like) for your grandfather's property - this could be very important as it relates to the location of the sewer easement so as not to restrict or complicate future development (maybe in the back of the property so that your neighbor would not be digging up your parking lot when a repair or upgrade is needed); 

2) Only grant an easement the necessary size required - 25 feet seems excessive unless that's required by state or city ordinance; 

3) Make sure your grandfather is adequately compensated for you and his time to get this done.  While it does appears there is mutual benefit, it customarily comes with a price to be deeded, and you have that leverage since this neighbor needs it now.

4) Consider the need for any other utilities that may need extension over there along the same easement and their suitability as far as location is concerned.  It would be less than ideal to have one easement in the back but then be forced to have another in the front because you didn't consider another service.

Keep us posted.

I have talked with other park owners who have these.  Their consensus is that: 1) It does not make money on its own and is solely for the tenants to have a place for their boat; and 2) It helps differentiate what would otherwise be a 2 star park to a 3 star park.  You may have some market-specific benefits not considered here (e.g. very popular vacation destination), so do your homework and keep us posted.

Had a tenant with their own RV skip town.  Who has had success renting these (to own) or other owner financing?  What are some key issues to consider?

I have been in mobile homes for "a little while" and have plenty of experience with owner financing, tenant screening, cheap construction, etc, that you might mention for RV's.  One issue with RV's, for example, is do you remove the gray and blackwater tanks and make utility connections permanent?  @Leslie A. any tips or tricks from your experiences?

Thanks BP Nation.

Capital improvements should be an expense of the land owner as part of a lease option, otherwise you risk throwing that money away if you do not exercise the option.

If the Seller's big concern is taxes go with a straight Seller Financing arrangement as it will provide the same outcome.  You want title to the property so that you can commit to investing in it.

Lease options can work, but most sellers are not savvy enough to understand them, and they don't want to be put in a position to take the MHP back when you decide to let it go, walk away.