All Forum Posts by: Eddie Starr

Hi, all.

I've been working with various investors over a little over a year, and after looking, I think MHPs are where I'd like to focus myself. The problem is, none of the people I've worked with have done MHPs: one told me he wanted nothing to do with them, but from the numbers, and just going through some MHPs, living in some, and having known people who lived, I think it will fit me.

My experience has been SFH: bird dogging, whole saling, and lease options; the wholesaling has included some bulks/tapes. My plan is to "wholesale a mhp," so that I can have some "skin in the game," as it were, for buying my first park.

I'm currently talking with a guy, and he had told me that a 4-page NCND was too long; this is what the wholesaler I worked with and I used for our bulks/tapes. Is that too unreasonable, or do I need to really compress it, somehow? Do I use a MFA [Master Fee Agreement]? 

In SFH, some say not to worry too much about things, such as recording the transaction with the county, to "cloud the title," but with MHPs, there aren't as many of those, and I want to make sure I don't get side-stepped on my 1st go.

Could really use some guidance, on wholesaling a MHP.

Another suggestion is to check craigslist, backpage, oodle, etc., generally under the real estate services section, for people who are contractors [general or other], and tell them what you want. Some are busier than others, and are willing to let you come in to help, to learn. Some work Spokane, some work Coeur d'Alene, and others work in the respective counties. Just IMO, but I'd suggest, especially if it's closer, to look for rehabbers in Coeur d'Alene and Post Falls area; maybe Liberty Lake and the Valley, and then, "branch out."

Another tool, which can help us both, if you want to connect, is to tell them you also have a friend who contracts for lenders for rehab funds, so that not only are they getting someone to help with their work, they're also getting another source of funding.

AVOID THEM LIKE THE PLAGUE!

75% of the time is spent trying to get you to recruit more students, so you can make $125 - a couple thousand off them. Thing is, if you look for real estate jobs on cragislist, they have FLOODED it! So, good luck in selling it, with countless others trying to do the same. I lost count of how many people told me "saw this, not interested," or just not interested in spending hundreds or thousands of dollars.

On the investing side, nothing came for it. I thought I had a deal, and when I forwarded the POF letter to the agent, all contact dropped dead! The company name on the letterhead, when I looked it up, the only thing I found was a LinkedIn Profile of a woman in Mexico. The phone number was to an employment agency in KY!

I decided to try the 30 day trial. I'll be canceling, next week.

The "offer bot" and "deal markter," you have to essentially void your 30 day trial, by "buying right now." Also, the PML list, you have to pay $97, and there's no telling if it's something like private money goldmine, which is scams.

The community is filled with people doing what's done here, linked in, etc, so what's the point of the monthly fee?

None of the listings [even if MLS], are FSBOs, so you have to deal with agents...exact experiences and miles may vary, so it may or may not be an issue. But then, why not just use Zillow/Trulia?

In short, it's garbage.

Hello, @Christopher

I live in the Spokane, WA, area...not familiar with "BP."

I work with a nationwide network of buyers attached to a clearing house and hedge fund, buying "SFH" in the area [from 1 - 6 units].

Do you have the funds to buy, yourself? I believe you're looking for buy & holds, as your profile seems to indicate, correct?

Based on your post, I'm thinking you're not looking for simple wholesaling, but you're going to need someone to be your "liaison" between you, owners [and agents, as applies], repair crews, etc.

Feel free to PM me specifics.

So, in my quest to find PML, I was thinking about, initially, SDIRAs. It was during the time of doing research, that I came across solo 401k s, initially here on BP.

What I plan to do, is put on workshops in my community, to get PML. However, I'm not sure which would work better, between SDIRA or S-401k, nor what company to use for this.

My goal would be to mainly use these to help fund fix & flips.

Since most individuals wouldn't have enough in their own account, would it be possible to use multiple SDIRA/S401ks, for commercial/mfh, or no?

Just wondering if anyone has a ballpark estimate, regarding the cost of installing a fuse panel/circuit breaker. I'm looking at 2 houses, and one has a circuit breaker, but the other one doesn't. Both are owned by the same family, who has owned them since they were built in the 1900s.

From my realator [buyer agent]: "I DO know that there would HAVE to be new wire from about 6 feet above the electric meter, all the way down into the new location for the panel, and a new panel would HAVE to be put in, even for one circuit to be put in."

Any feedback's appreciated.

Howdy, BP community.

I've been looking over various MFH in my area, and looking at funding options, and am trying to figure out how to make it happen.

MFH is higher costing, with most being at least $200k, with the higher NOIs being $500K - +$1M.

I was thinking HML would help me make this happen, but the probs I've run into are:

They will only cover a certain percentage of the amount I need to purchase the prop. I initially didn't think it would be too hard, but the problem is, is they all want first position. So, even if I could get seller financing, or somehow a conventional, to cover what the HML wouldn't, there's still the issue of no one seems to want to take 2nd. My thought was, from the property's cash flow, to use the vast majority of that, to pay them both off, simultaneously, but what makes sense to me, and many not in the REI world, won't work.

Then, the terms to pay back the HML. It's generally 1 - 5 years. I've seen a few that offer longer periods, but with much higher interest rates, and more burning hoops to go through. The question I have, is that for HML, how would I even pay it back? I have yet to come across a property, where the NOI would allow me to fully repay the HML, in that time frame. Would, near the end of the term [for those offering at least 3 years?], I be able to go to a conventional commercial lender, and based off the business's credit [D&B, Equifax Business], be able to get a loan to pay off the remainder of the HML, and then, pay on that mortgage?

@John Vashon

If you, or someone you know is interested in buying, yes.

Otherwise, I'm trying to figure out the best way to pitch it to a lender, hard money, or other. I've been trying a few things, over the months, and haven't had success, because I haven't had the +20% to put in. I'm thinking "I'm looking to get this property. It's $1.7M, and I only need this amount...I'm thinking $605 - $610 for closing costs [title company and due diligence, legal fees, renewing my corporation paperwork, etc.]."

Here's the basics:

74 Unit MHP

Asking: $1.7M

Wanting $595K down [assumable, $595K = 35%]

New Loan Amt: $1,105,000

Rate: 5%

Pymt (P&I)/Mo: $6,456.72

Tax assessor has it at $1.2M [Owner has put ~$450K into upgrades & MH renovations].

Amounts are monthly:

Rents + Garages: 34,600

Vac 5%: 1,730

Eff. Gross/Operating Income: 32,870 [includes property management and maint/rep].

Total Exp: 37.9% 13,175

NOI: 19,695

So, who would I approach on this [HML?], and how would I approach? "I just need $595K for a $1.7M MHP? Here's what it makes, and I assume the loan. 19,695 - 6,456.72 = 13238.28/mo, to pay on what you loan me?"