Posted by CharlieK on June 14, 2001 at 11:34:20:
I’ll have to agree with SirJohnathon here. If it’s so easy to find a buyer, why haven’t they in 4 years? The contingency items you list are a great safety net but do you really want to put your time and effort into something that hasn’t sold in 4 years? Just a few more thoughts.
First mobile home deal…need input. - Posted by wayne
Posted by wayne on June 11, 2001 at 21:19:16:
Property bio: 3 bedroom 2 bath new mobile home built in 1997 and never has been lived in. Manufacturer cannot find a buyer. Learned today that they have never even advertised it as they are clear across state. Original price was 50,937 but will accept cash price of 25k…I will bid 18k cash. Home has been vacant since 97. I do not have the exact wxl dimensions but it is a standard sized single wide.
Special feautures: Ceiling fans in every room, Dishwasher range and refrigerator come with deal. Home also has 10 ft special doorway for entrance. Has a wooden deck. Home is very well maintained as it has never seen any wear and tear. Upon inspection I find nothing wrong with it.
I am about to make an offer for 18k cash with the contigency of “as is, where it sits”, and also "upon finding a qualified buyer within 90 days.
I have spoken with the property manager extensively and she tells me her and her husband have done “flips” for upwards of 30k cash in less than 1 week. They cannot do them no more because they were told by gov that they need to be broker/agents. I believe there are enough buyers in the area that I can find one very easily and sell this property maybe 35k. The seller tells me the current value on it is 35,871 and that is what they are listing it for.
I have spoken with the seller extensively today and he eventually gave up a couple lending sources that he knows of as my current mortgage broker has had trouble drumming up lenders for mobile homes. So I can either find a buyer real easily and if not then I walk away after 90 days, or I can just sell it outright for just 30k cash. advertising that the buyer gets a new home never lived in and 26k instant equity (well today it is, tomorrow its not).
I am still a newbie in respects that I have not done a deal yet. Although I do believe I have a good understanding of many of re concepts, I do not want to make a costly mistake due to arrogance.
Does this sound like a good deal? And the only way I know of to close is via title company, yet I see other investors in the area not using them at all. How do I close without a title company and not worry about possible liens against property (mobil or permanent). Please give me information. The more detailed and lengthy the better.
Waynepdx
Re: First mobile home deal…need input. - Posted by terryr
Posted by terryr on June 14, 2001 at 23:49:04:
price is WAY TOO HIGH! RUN DON’T WALK AWAY FROM THIS ONE
Re: First mobile home deal…need input. - Posted by Chuck (AZ)
Posted by Chuck (AZ) on June 14, 2001 at 12:49:59:
Just a thought… but could the home have possibly been a “sales model” (demo) placed there during the park’s in-fill period?
Given the info you provided, it makes sence.
Re: First mobile home deal…need input. - Posted by John SirJohnathon Grounds
Posted by John SirJohnathon Grounds on June 14, 2001 at 10:44:55:
Wayne,
Wow…what a deal to jump into for your first one. I don’t mean to be a spoil sport, but this one causes me a few concerns from the outset. First, it has been vacant for how long? I realize that they haven’t marketed it, but there must be something more to it. I have a hard time imagining that a home has been vacant for 4 years and a manufacturer hasn’t been able to sell it until you “magically” come along. It just sounds a little unique. Please check into this extremely well…
As for the terms of your offer…interesting. I would like to know if they take it.
You said they are listing it for $35k…you mean it has been setting empty for this long and they are just now listing it?
The park manager was told by the government that they have to be a broker before they can do more? That also sounds like a load of hooey. If they are doing such a great job, they should be willing to go get a PhD if that is what it takes. Again, sounds like another fabrication.
You numbers on “sell it for 30 cash and advertisie they get 26k instant equity” doesn’t make sense. I must be missing something.
In 8 years of personal investing and 30 years of family investing this scenario is different than anything I have ever heard of.
Wayne, either you have stepped into what appears to be the Twilight Zone, or this deal has “Run” labeled all over it.
Hope this helps,
John “SirJohnathon” Grounds