All Forum Posts by: Mike Matthews

Hi...

Talked with a guy who has been doing MH deals in MN for 3years and he says all you need is a license and it takes 140$...not much hassle...there are other limitations in MN which make it difficult like the upper limit on interest rate you can charge and default procedures...

Vinayak

0 Votes

No those #'s are true, MH parks have a much lower expense rate. You have dirt, Asphalt, Water, and sewer,. If you get each unit individually metered and bill back to the owners, 30% is a very average # for MH parks.

Why should you invest in a Mobile Home Park?

â€¢ Security Mobile Home Parks have remained one of the most stable and predictable real estate asset classes. Rarely will you see a foreclosure.

â€¢ The loan failure rate is nearly zero.

â€¢ In todayâ€™s economy, affordable housing is in HIGH demand.

â€¢ Much better returns than todayâ€™s stock market.

â€¢ Only the lots/dirt are rented, less maintenance problems.

â€¢ Average operating expense rate of only 35%. Apartments are in the 60%

â€¢ Much lower turn over ratio. Average home stays in a park 25 years. If they move it out. It costs over $3,000 so the home remains.

â€¢ When you raise rents by $10, $20, $30 or more in a park, it is less justifiable for a person to pay several thousands of dollars to move their home to save $ 30.00 a month.

â€¢ Increased depreciation rate over 15 years, which equals a major tax advantage.

5 Votes

Call my friend Hilda Everett, She finances MH in parks all over the US. She will be speaking at my Mobile Home Focus Group this month. It is free to all RICH members.

Hilda Everett. (281) 292-8200

http://www.mobilehomefinanceonline.com

Originally posted by NOE R.:

Rachel, or somebody who knows, what lenders are doing loans for clients who want to purchase Manufactured Home in Parks. I'm in Southern California and it's hard to get this type of Loans.
Hope someone can help me.

0 Votes

Welp that mailer sucked, did you find out the info you needed?

0 Votes

WRONG, You do not have to be a dealer to buy and sell, only if you Retail sale your homes. If you lease to own you do not have to.

BTW what are the windzones of the homes in your state?

Originally posted by Hal Cranmer:

Hi Everyone,

I bought Lonnie's materials and started looking into buying and selling MH's here in MN. However, the first park owner I talked to told me that you have to be a dealer to buy and sell mobile homes. Sure enough - I looked it up in the statutes and it looks like he is right.

However, he did say you could work with a dealer and finance them. So I got in touch with a dealer who told me she thought I needed a finance license, but did not know how I obtain one. Does anyone have an idea how I do this?

The dealer license has ridiculous requirements ( you have to work for a dealer for 2 years and you have to put up a $20K bond as well have $1M in insurance etc.) but it sounds like the finance license is a lot less?

Thanks.

0 Votes

\\\Personally I have had 31 rental homes I am glad to say that I sold my last 5 tennent occupid homes today. I am very good at this games, and I will not do it again.

I will continue to rent mobile homes but single family homes I will not do.

Originally posted by Joe Salimao:

All I hear from investors anymore is how bad it is to be a landlord and how unexpected expenses come up and really hurt you and how cash flow really isnâ€™t cash flow and you need to account for this and thatâ€¦â€¦.
I will not be discouraged by this because I know I want something more out of life and that real estate is my ticket there.
I want to build a portfolio of rentals that will supplement my w2 and then transition to other ventures of re investing.
I know this isn't going to be easy but man is it really that bad, especially if you have property managers?
Joe Salimao

0 Votes

Good Job, I have 32 Homes that I have purchased Subject 2. Howbere I never pay for them I make the seller give me 2-3 months minimum on the sale. Especially in today's market.

Keep it up.

Originally posted by Nick Johnson:

Doing sub2's work even in this market.

countrywide loan ARM @ 6 %
adjust in 11/11

$5,421.04 to bring current
$1,341.05 monthly payment PITI
-------------------------------------------------------------------------------

Saved homeowner from Foreclosure

L/O tenant contracted this morning

$ 15k down - $5,421.04 = $9,578.96 pocket money
$ 1500.00 monthly
+ 20.00 payment processing w/ credit reporting (clearnow.com)
+ 50.00 AHS warranty (ahswarranty.com)
= $1500.00 - $1341.05= 158.95 net monthly cashflow

Not a Huge cashflow deal however the option money is fine.

Deals like these are why I like Sub2's w/ L/O's

0 Votes

Originally posted by Jon Klaus:

There's a lot of good info here. I am working on land/home deals and haven't worked in parks, but what you say makes good sense.

I will have mailer going out to all the praks in Dalls soon. What are you looking for?

0 Votes

Originally posted by Brenton White:

Hello all,

I just wanted to say hi to all. I have been investing for approximately 3 years in multi-unit buildings. I am now looking at doing some lonnie type deals, as well as investing in a mobile home park.

I would love to get some good conversations going between individuals who are already doing these types of deals. If you are interested in sharing ideas, or going over some deals just let me know because I would love to listen and share.

Share my friend, Mobile Homes is what I do. What are you looking for?

0 Votes

They are not free , you must be RICH member for my services.

Originally posted by Jim Doine:

Michael, since your classes in Houston are free why not share the same info here on bigger pockets, in a tread, blog or group. I'm sure there would be a lot of interest. Jim

0 Votes

All Forum Posts by: Mike Matthews

Mike Matthews has started 15 posts and replied 194 times.

Post: Mobile Home Investing in Minnesota

Post: Expenses of MH parks

Post: Where to get financing ?

Post: Doublewides on permanant foundations

Post: Mobile Home Investing in Minnesota

Post: Is landlording as bad as they make it?

Post: Another Sub2 success!!

Post: MY GIFT TO BIGGER POCKETS MH INVESTORS

Post: Just Saying Hello

Post: Tin Can Investors Houston, TX