Posted by Fred-Ohio on November 28, 2000 at 20:02:27:
You cannot force someone to become motivated and you can’t make a good buyer out of someone who does not have the disipline to save a small down payment. TAKE YOUR TIME!!! Wait till you find a motivated seller and then make your move. Wait till you find a buyer with a down payment, the ability and willingness to make payments and then make your move as a seller. Stay active, but don’t try to force it.
You may have to talk to 20 “interested” buyers before you find a “qualified” buyer and for every true “don’t wanter” (motivated seller) you will talk to 10 “it would be nice to sell it” folks. There is no short cut to the sorting-out process.
Am having a couple of problems, wondering if anyone can advise me what direction to go.
Have located a “fair” '78 Skline, 14 x 70, 2/2, c/h, c/a, washer/dryer, range/ref, microwave oven. Seller is out of state and his brother is handling the deal. Was asking $3,000.00 got him down to $2,250.00. Nice park, Park Manager has given me the go ahead to “play in their park”. Lot rent is $185.00 a month, includes water, trash and sewer service. Would really like to get the MH at $1,800.00 to $2,000.00 but the seller doesn’t seem to be too motivated with those figures. Can anyone give me any ideas to get him down. I told him I would be back in touch by this coming Friday, that way, he has to pay this months lot rent.
Same MHP, 1975 Homette, 3/2, range/ref, c/h, c/a, 14 x 70, good shape for age. Owner also works in the MHP and wanted $4,000.00 for the MH. I advised I don’t pay that high, he said he would let it go for $3,000.00 cash, OR, if I wanted to try and sell it, he would take one half just to give me clear title. I’m not paying $3,000.00 for a '75 first, have offered $1,800.00 he didn’t seem motivated and I see no real gain for me to sell it and give him half. Any suggestions??? Should I or shouldn’t I???
Have a potential buyer for either of the above two MH’s, only problem is, she doesn’t have the required down payment. She is presently paying $500.00 a month rent for an apartment, but has no savings. Should I attempt to work a deal with no down payment, have her pay me $200.00 a month for 36 months plus her lot rent. She is saving quite a bit a month by going this way, but by the same token, she has NO VESTED interested in the MH once I allow her to take possession. She can literally move out anytime and I would only have her payments up to that time. Any suggestions???
I apologize for the lenth, but I am relatively new and this is my first attempt at buying and selling, don’t want to make a costly mistake.
Posted by Chris-GA. on November 29, 2000 at 11:52:42:
I agree with Karl,these sound like O.K prices in my area.Remember what lonnie said;“pigs get feed,hogs get slaughtered” and also remember to let the seller name his price.
Posted by Karl (Oh) on November 28, 2000 at 21:18:36:
Ron,
Do what works for Dirk and Lee. Slap a stack of 50’s down on the kitchen table, and stare 'em straight in the eyes until they blink. If they’re motivated, they’ll pick up your money, and you have a trailer.
What can you sell either of these homes for? Do you have a good feel for what prices your market with support if you offer financing? While we all take pride in beating down a sellers price, keep the end in mind. You don’t have to beat a seller into submission just because you can. You need to get a good deal to make a good return on your investment, but you also want to develop a reputation in your park as a guy who pays fair prices, this will generate referrals in the future. On the first deal you’re asking how to squeeze another $250 out of the seller. Is this because you can’t sell the home for more than $4k with financing? Or are you just determined to get a lower price for the sake of negotiating? Get a good price, but be a fair guy with your buyers and sellers. In the mobile home marketplace that will give you a niche. If you could sell the 3br for $7k or $8k on a note (I could in my market easy), $3k isn’t a bad price to pay. Those prices your quoting don’t sound bad, but of course I don’t know your market. Where do you live?
Work with motivated sellers, of course, but if a deal looks good, do it. No need to wait for a homerun. Hit some singles and doubles. You want to get some volume going.
Don’t dismiss the idea of partnering with the owner on the 3br too quickly. If this guy works in the park, he can help refer buyers, and would be a good guy to have on your side. But if you beat this guy silly on the price, he won’t feel like helping you later. If you can work a deal where you don’t put up much or any money to control his home, it frees up money to do more deals.
As far as the buyer, wait for one with at least 10% down.
Just trying to give you some different viewpoints on your post. Good luck, let us know how these deals worked out.