Steve, if you are really sure that 35% of your parks are for seniors you may want to go ahead anyway. I don’t think that we have much more than 10%-15% of senior parks in my area and resales are slow: at least when compared to all-age parks. Maybe all of our seniors all move to WA when they reach their halcyon years.
You are right that many pay cash and that is great, when you can get it. There is always a danger that new Lonnie dealers will get hung up on that 50%-100% interest (return) figure or on the idea of having those monthly checks come rolling in month after month, and pass up all cash resales. It does sound good to have your money working at 100% interest. A cash sale is almost always better. The only exception I can think of is if you can’t find more deals and your cash would just be sitting in your bank savings account (a fate worse than death).
If it takes you 3-6 months to resell in a senior park that can take a real bite out of your empennage.
If you still wish to buy in a senior park because you’re getting a killer deal on the price, I would suggest that you try for a short 2-4- month option first so you don’t get eaten up by space rent while looking for a buyer. The reason for the short time period is because if you try for any longer the seller is likely to balk. If the mobile is empty and has been empty for many months I would just say to the seller “what is the difference since you’ve been paying the space rent anyway”, and I will guarantee to make a real PROFESSIONAL effort to find a buyer AND I would also promise to buy the coach for cash after 4 months if I don’t find one. This could be used as a further inducement for them to give you an option.
If you can’t get a free or cheap option then stall for time while you at least run a “feeler” ad to test your market and try to develop a healthy waiting list of prospective buyers that you may be able resell to.
It further depends on if you are in a sellers or buyers market. I’d more likely go for the senion park and a possible cash resale in a hot sellers market than I would in a buyers market.
Got both books and tape (DOW & Making money with MK). I’ve done my research with various park in my area (didn’t realize that there were so many :-), place test ad that went great. Got about 8 calls from soon-to-be-home owners.
Saved up 4k, even setup some app for potential sellars (2 to be exact).
The only question that I have now is, “When I get a home for my projected price and no one buys, is there anyway to get out of the deal?” I know you’re suppose to line up potential buyers before diving in but for some reason no one bites— Is there a way to get out of that deal. Once the note is yours.
Tim, how much trouble would you expect to have if you were trying to sell $20 bills for $10 each? Well if you buy an $8k for $4k and got really desperate later don’t you think it would be easy to resell it for at least as much as you paid for it? If you buy something truly at half price its hard to go wrong. I wonder if you have read Deals On Wheels yet? When you resell something for little or no down it usually sells very easily and quickly. There should be no worry of getting stuck with an $8 mobile home that you only paid $4k for and are willing to finance when you resell. If you haven’t read DOW yet you could get into trouble VERY easily. Why try to reinvent the wheel when a book like DOW is available at such a bargain price of about $30? Lonnie is an EXPERT at teaching you how to succeed with mobile homes. Wouldn’t you consider it a bargain to only pay $1 per year for the benefit of his experience? Scott, this is an I.Q. test. Your answer is your score.
Some MHs are easier to sell … - Posted by Jerry Freeman
Posted by Jerry Freeman on March 26, 2002 at 07:04:17:
Although you sometimes see posts from people who have sold them, you’ll find it’s easier to sell if you steer clear of anything less than 14 wide, less than three bedrooms or older than '76. An occasional two bedroom is usually OK, but may take longer to sell.
Re: Newbie Skeptic - Ready to go Live - Posted by ScottS(NC)
Posted by ScottS(NC) on March 25, 2002 at 13:59:49:
Tim,
I missed something here. The first paragraph of your post states the glass is 1/2 full i.e. “lots of parks” “test add went great” “8 soon to be homeowners”
and then you get all negative on us, prior it seems to actually purchasing this house that won’t sell? My question is with 8 responses to your 1 little add why do you feel it won’t sell??? I understand butterflies I was there not to longago myself. But as my brilliant wife always says “Can’t NEVER could” Don’t assume failure before you even start. You have done your homework it sounds like now DO A DEAL! Take Care ScottS(NC)
Posted by Steve W (WA) on March 26, 2002 at 14:18:05:
Senior parks are about, oh, 35% of our parks here - just a WAG. I have seen a couple that could be had cheaply, and I understand that the seniors generally prefer to buy cash - don’t want debt at this stage of life - hell, who does?
I understand that it could be touchy, and one may be sitting on a MH for awhile, but if you can get in first and get in low, why NOT go with a senior park?
BTW, I haven’t yet, but I don’t necessarily want to rule it out. Why should I? Talk me out of it, doc!