Posted by Marty (MO) on January 14, 2004 at 05:13:59:
almost hurt my little feelings!
Buy retail, rent, then finance it? - Posted by Jon in GA
Posted by Jon in GA on January 13, 2004 at 18:52:55:
Hello all, I’m new in the game. I’v read DOW a few times, and started, but life seems to keep getting in the way. I know this idea isn’t going to produce immediate return that DOW preaches, but please let me know if their are any other disadvantages.
Here goes: find a dealer and buy new (last years model of course), financing the MH over 5 years. I figure after 5-15% down the rent ought to more than cover the monthly payment. After someone pays for my note on the depreciating asset, I then turn around and sell the MH, creating a note for a reasonable return.
The way I see it the money I have in the MH is my down payment, plus repairs, and taxes.
I’ll be visiting a few dealers tomorrrow so if there is anything I need to konw, now is the time.
Is this a viable alternative for someone without the time to dedicate for finding deals?
Your help is appreciated.
-Jon
this is a wonderful recipe… - Posted by Greg Meade
Posted by Greg Meade on January 14, 2004 at 06:43:50:
for disaster. No matter what you pay for last year’s model, single or double, you will over pay by 60% or more. Lonnie teaches to buy wholesale from a committed seller and sell to motivated buyer.
No dealer will give you a deal on any unit …ever. If you are committed to paying high retail for rental (?)units and eventually sell for a buck, forget it! If you want to buy high quality 3 year old units for 28 cents on the retail buck call me!
Greg Meade
352.216.2020
Re: Buy retail, rent, then finance it? - Posted by Marty (MO)
Posted by Marty (MO) on January 13, 2004 at 19:05:10:
do you have a park you can rent in? if you do, instead of buying retail, I’d buy a foreclosure. there’s a handful of guys up here doing section 8 rentals. also, you might look at doing business in a condo park. you may have trouble buying even “last year’s model” off the dealer’s lot for anything approaching a reasonable price…
good luck!
Marty
No, No, go straight to jail. Do not pass go… - Posted by Dr. Craig Whisler
Posted by Dr. Craig Whisler on January 13, 2004 at 20:59:11:
…do not collect $200.
Don’t EVER buy retail, and don’t ever buy such a new mobile as you propose. If you really want to make money buy a repo from 5-10 years old and save 3/4 or more of the amount you would have paid for a one year old new one, THEN follow your plan if you wish.
Lonnie got it right the first time, own his own. Now, even with his help, you seem to lack the good judgment that it takes to make it in this tough world.
Why do I get the feeling from your post that you have already made up your mind, and just want some of us to validate your plan in case it fails?
Its always the little spokes who try to reinvent the wheel. They spend all their time going round and round instead of it a straight line toward their financial goals. I’ve never seen one succeed yet, but hope springs eternal.
Regards, doc
Re: No, No, go straight to jail. - Posted by Jon in GA
Posted by Jon in GA on January 14, 2004 at 10:17:20:
I appreciate all the positive criticism, You have convinced me not to buy retail. I may pursue the repo option, but to make the kind of money I am interested in I think I’ll stick with SFR’s.
If I’m going to spend the time hunting down deals I should do what I’m comfortable with.
Oh, and to Dr. Craig Whisler - didn’t Lonnie reinvent the wheel by his plan? Granted that one is working for you guys so you don’t see it that way, but he was a little spoke and turned things inside out for all of you.
-Jon in GA
Oops. My post was for Jon, not Marty. - Posted by Dr. Craig Whisler
Posted by Dr. Craig Whisler on January 13, 2004 at 21:04:19:
.