All Forum Posts by: Nolan Andrews

no shingles is great, the new metal will lay better. No concerns with weight, it really isn't that heavy and is dispersed equally. I would try facebook marketplace? Most contractors aren't going to want to do a small roof job like that (and you don't want to see their quote either). Local handyman that has an extra set of hands might do it, but it's really a 3 man job for effeciency. 

Please just put a metal roof over it. In Georgia my average materials cost on a new roof is $2,850. Granted I have my own guys to install. You can run furring strips through the existing roof to the trusses and put the metal down on top. Cool seal does not save the overhang/drip edge and you will eventually get water down the walls. (I own 150+ homes)

I am looking at purchasing a historic building that is a finished office downstairs and zoned for 4 units but unfinished upstairs. I've received plenty of commercial loans but never done a Fannie and so I'm looking for a mortgage broker that has run into a situation like this to walk me through what it would look like.

Agreeing with Delwyn, and adding that anything in proximity to Pembroke where they are building the Hyundai plant.

Investment Info:

Mobile home fix & flip investment.

Purchase price: $23,500
Cash invested: $25,000
Sale price: $39,500

Bought a mobile home cash with my first two commission checks. The woman had moved out and left me with tenants, all I had to fix was the well. Rented it out for $650/month for two years and sold it to another investor.

What made you interested in investing in this type of deal?

Wanted to use my commission money on an investment property and not something stupid

How did you find this deal and how did you negotiate it?

Facebook marketplace. Messaged "I'll take it"

How did you finance this deal?

Cash

How did you add value to the deal?

Marketed as an investment with little risk/long term tenants

What was the outcome?

Doubled my money

Lessons learned? Challenges?

Appliances break, and so do a lot of other things.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

no

Investment Info:

Mobile home fix & flip investment.

Purchase price: $23,500
Cash invested: $25,000
Sale price: $39,500

Bought a mobile home cash with my first two commission checks. The woman had moved out and left me with tenants, all I had to fix was the well. Rented it out for $650/month for two years and sold it to another investor.

What made you interested in investing in this type of deal?

Wanted to use my commission money on an investment property and not something stupid

How did you find this deal and how did you negotiate it?

Facebook marketplace. Messaged "I'll take it"

How did you finance this deal?

Cash

How did you add value to the deal?

Marketed as an investment with little risk/long term tenants

What was the outcome?

Doubled my money

Lessons learned? Challenges?

Appliances break, and so do a lot of other things.

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $1,150,000
Cash invested: $750,000

I got insanely lucky on my first MHP deal. Yes, I knew the market and I knew I had to find room for 1031 money but I have learned the true meaning of upside. I also happened to purchase it right after the pandemic when rents began appreciating at 20%/year. I am bias, but after 2 years of rehabbing park owned homes and improving the community, cash flow has gone from $14k/month to just under $30k/month.

What made you interested in investing in this type of deal?

Rising land costs made development harder to do, and I knew the area well enough to know growth had began but was far from complete. I knew mobile home parks were a good investment and after this deal it's over 85% of what I do.

How did you find this deal and how did you negotiate it?

Called the owner and spoke for over an hour. Within a month it was under contract. I offered $900k, was countered with $1.3M and we closed in the middle.

How did you finance this deal?

1031 money and a 33% LTV 5/15 bank loan.

How did you add value to the deal?

Forced appreciation by moving rents towards the market. Improved ineffecencies and delivered a product that nobody in the market was delivering.

What was the outcome?

A stabilized cash-flowing investment that will return >20% annual ROI.

Lessons learned? Challenges?

Management and park-owned home operations are incredibly burdensome but worth the spread on lot rents.

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $3,250,000
Cash invested: $1,400,000

Purchased a 103 unit mobile home park off-market at 55% occupancy at a 9.5% cap. Expanded operations and currently infilling and renovating park owned homes. This is a value-add, long-term hold designed to stabilize in 1-2 years.

Cash flow at entry: $30,000/month
Cash flow after stabilization: > $60,000/month

What made you interested in investing in this type of deal?

Previous mobile home park investment peaked my interest and projected housing demand growth in the area is significant while future housing supply is not going to fill the demand.

How did you find this deal and how did you negotiate it?

Off-market and after an on-site visit I immediately offered asking price, which the seller thought was unlikely.

How did you finance this deal?

Partnership with desirable private money from members.

How did you add value to the deal?

Improved operations and overhauled management. Currently improving infrastructure to move the park from 55%->95% occupancy.

What was the outcome?

tbd

Lessons learned? Challenges?

One of the lessons learned was that I could not change "park stigma" just by adding a new sign. I also underestimated the tenants we would lose not to non-payment but for violations and non-conforming behaviors and resistance to new rules.