All Forum Posts by: Zachary Phelan

I just bought a home. Conventional 5% down. This is my first and primary home. If another deal hits the market, and I want to buy it. What steps do I need to have in place so my debt to income is back inline?

I have one guy renting a room and can have a lease in place to "prove" income. I can have a second lease in place to show that the mortgage is being covered and the property is cash flowing.

Will this suffice to buy again with 5% down?

I don't want to buy with 20% down, because I am remodeling the homes. I am not exactly sure how the 25% equity plays into all this. If I remodel and get another appraisal to show 25% equity the lender......?

I have heard rumors of having to prove renal income for 6 months or 1 year before your DTI changes?

@Andrew Postell 

I just bought a home. Conventional 5% down. This is my first and primary home. If another deal hits the market, and I want to buy it. What steps do I need to have in place so my debt to income is back inline?

I have one guy renting a room and can have a lease in place to "prove" income. I can have a second lease in place to show that the mortgage is being covered and the property is cash flowing. 

Will this suffice to buy again with 5% down?

I don't want to buy with 20% down, because I am remodeling the homes. I am not exactly sure how the 25% equity plays into all this. If I remodel and get another appraisal to show 25% equity the lender......? 

Thanks for any advice my man! I hope you are writing a ton of loans and refi's 

Thanks all to have commented! 

I am interested to see who has been around for several cycles thinks or has seen in the past? 

Learn from the past and anticipate the future. 

Really, like all I just want to get ahead of the wave and ride it out! :) 

I am looking to connect with people who are doing something new and creative. We have plenty of capital, and let's be honest, there is a ton of capital to go get. 

Putting yourself in my shoes, I have plenty of investors and they are looking for a good place to put their money. I have been doing mobile home parks but the cap rates are getting depressed just like apartments. Self storage seems like a good idea, the big players in MHP are buying 35%-40% self-storage deals for their investors. What else is out there that I don't know about?

Who would like to partner up with me on something? 

Air-bnb communities? Tiny Home communities for the retired people and for the millennials? Building XYZ from the ground up? Floating Homes in Portland? 

Who has something outside the box?

For those of you who have been around for a few cycles.... what worked well when there was a ton of capital? Have you seen this before, and what did you do, or watch someone else do?! 

PS if you have an actual deal on a mobile home park, We have 2.5 m ready to put into parks. Send them my way. 

Thanks all and have a great weekend!!! 

Hello All! 

My partner and I have a great deal on a mobile home park. We are working with a local bank and everything is progressing smoothly! We will buy a second park immediately from the seller and more to follow after that! We also have a few deals in the pipeline ;)

We want to get some backup financing in place. We were misled on one private lender and are now looking for other private money options?

The rates we were given was 35% down at 10.25% interest for 2 years, with a 2 year extended option interest only. Is this common in the private money world? We were told 30 years at 7.5% when we started the application... 

So who will do private money on a mobile home park? We have deals coming and need to secure financing. 

Any help is gratefully appreciated!! Thx all. 

Few details on park. 

Purchase price 700k

33 out of 48 lots occupied

Most are park owned home - recently been rehabbed, other trailers taken out and several newer homes. 

Tenants pay city water and sewage

excellent location - right next to everything

lot rents and park owned rents are all low - will be raised upon purchase 

The two lenders who have seen our underwriting package and spreadsheets have been impressed. It is a good deal. 

Check out the book Deals on Wheels by Lonnie Scruggs. 

I would buy it for 1k and sell it for 8k. Do a lease to own option with 1k down. Payments of $400 a month until paid off or something along those lines. 

Get your 1k back and anything you make on top of that is great. Don’t get greedy, only charge what they can pay. 

I believe you can find the book online for free. Have fun! 

Yes, I have asked my title company to pull a list of the bible belt states as well as Michigan. 

I want to know all your thoughts on the top states to invest in mobile home parks?

I know the bible belt is a good place to start. Possibly can get more bang for your buck! 

How about Michigan, Missouri, Iowa, Texas? 

Possibly the grand daddy of all questions, What are the emerging markets for MHP's?

Maybe I jumped the gun, still waiting on comps from Realtor. Zillow has it as 152k and the tax assessed value is 179k. 

I thought it would be renting for more as well. It has been a rental for the last 15 years. 

@Ramek Llah

@Benjamin TimminsThis is a single family 3/2 1 car garage. 

I have a turnkey property. It is renting for $1000 a month with a property management company in place, taking their 10%. The property retails for well into the 150's .

I want to sell it as a turnkey, what kind of offers can I expect? Located in Birmingham Alabama. 

Any help greatly appreciated!