Posted by Pablo on August 04, 2005 at 20:22:50:
Thanks, Anne!
What to do with a FREE mobile home? - Posted by Pablo
Posted by Pablo on August 04, 2005 at 14:06:31:
I came across a free mobile home in the area and don’t know what to do with it. But time is short. Here are the details I received from the owner’s daughter-in-law:
12 x 60
2 bedrooms
1-1/2 baths
Breaker box needs replacing
Faucet handles are missing
It has wheels but needs tires to be moved.
No title
Is in a mobile home court.
It is liveable, just needs a good cleaning.
Has been used for storage for an adjacent owner for many years.
The owner moved and is tired of paying pad rent and needs it moved by the end of August.
I’m told by a friend who tows mobile homes, without having seen it, that it’s probably only worth around $700.
There is no title as the person the owner bought it from never had the title put into their name, the original owner has died and therefore there is a problem going all the way back.
The owner believes this would be good for someone who owns property somewhere where they hunt/fish because of the title thing.
Any suggestions? Thanks!
Pablo
Mashiach@swbell.net
314.909.9414
Re: What to do …Some will some wont, NEXT! - Posted by Mark Haugsten
Posted by Mark Haugsten on August 04, 2005 at 19:11:45:
Consider the time value of money.
You are spending far too much time reinventing the wheel and trying to catchup on maintenance and provenance issues when there are many more deals out there with much less work required.
I estimate that if every aspect of this deal works out, you will spend every day of 3 weeks working to have this one ready to go,
Additionally, I think a BEST estimate of cash out of your pocket for this deal, as presented, sounds like $6k.
Just ask yourself, with $6k and 3 weeks of 8-10 hours a day, can I find an easier, more profitable deal, with less chance of haunting me, in some manner?
I think that answer is, yes.
I would decline without hesitation on this one, right now, today.
I have been ‘given’ 2-3 MH’s this year which required moving. Not one was worth a second look.
The resolution to the title is an abandoned title claim by the park, followed by a cheap deal, perhaps $50, since they want it gone, they can do the quick title fix. Then,
If they want it moved, I would make a deal to repay 25% of THEIR moving costs if they move it to my space.
Including skirts and utility hookups.
If that happens then it may repair for less than $3k, and that is something you can LD with. The keystone, or markup you want is 2x or 3x.
This 70’s trailer with $3k means it sells at $6k to $9k. The worst case, with $6k, means more like $12k to $18k. I would adjust my advice ONLY IF everyone, starting with the family, and PM, worked harder on this deal getting done my way than I did.
Re: What to do with a FREE mobile home? - Posted by Pablo
Posted by Pablo on August 04, 2005 at 16:13:02:
Hi,
Here’s some additional information:
It’s paid in full
No liens
No back taxes
Roof does not leak
Not aware of any mold
Pad rent is $275-280
Manufactured in the 1970s
Is fairly clean.
Carpet is not torn up or greasy/oily.
Owner is willing to clean it up.
The park manager is a “piece of work.” Sounds like he doesn’t want it in his park. (Will call him.)
No refrig or stove
Owner lived in it from '93-'98.
Furnace was new in '91 but used very little (the owner sleeps with the windows open and the furnace off at night in the winter).
Water heater new in '92-'93
Could use a little sprucing up (paint, carpet, linoleum).
It seems the title was never properly signed/processed going back to the 3rd previous owner.
Regarding Mike’s questions:
- How much will it cost you to move?
Don’t know. Just know that my friend would charge $700 to move it 1.5 hours from here to the country. I’m sure a move to a neighboring area would be much less. - How much will it cost you to fix?
Don’t know. Haven’t visited it yet. From what I know, it seems like it needs:
-Tires (if it’s to be moved)
-Carpet
-Linoleum
-Paint
-Breaker box
-Refrigerator
-Stove
-Faucet handles
-Propane tank (depending…)
-Clear title
-Moved to new location (depending…) - Do you know, right now, of another park/lot that would take this home?
Don’t know. Will talk to the PM first.
Thanks everyone!
Pablo
I might disagree with Mike - Posted by Steve-WA
Posted by Steve-WA on August 04, 2005 at 14:58:28:
Some questions need answers before deciding:
Does the park require it to be moved? I’m betting that they might prefer it stay, and a paying tenant move in. You need to talk to the PM.
Does the current owner have the title?
Is the dead titleholder’s family reachable? Start playing detective; there is a way to get the heir to sign the title in their stead, or file for lost title and sign for release of interest. Tell your titling authority the story, and ask them that if you can find the heir, what paperwork do they need from you to complete the path to clear title? (Mike, this is the part I never got around to - there is a distinct process, I explained it to Eric over the phone).
I run into these every so often, and NOBODY knows how to make this dog hunt. If you ask the right people the right questions, you can turn it into a silk purse just for having the right knowledge of the paperwork to use.
and this can all be done quickly. With the title issue cleared up, and if it can stay in the park (clean up the outside first - - - always the outside first), you have many exits before you.
Now, go!
Re: What to do with a FREE mobile home? - Posted by Mike (Seattle WA)
Posted by Mike (Seattle WA) on August 04, 2005 at 14:10:25:
How much will it cost you to move?
How much will it cost you to fix?
Do you know, right now, of another park/lot that would take this home?
My guess is that this is not an easy deal. A few thousand to move, another thousand to fix, and some holding costs means you’d want to sell for at least 6-8K to make a good yield.
Skinny deal - won’t fly - Posted by Pablo
Posted by Pablo on August 05, 2005 at 21:52:25:
Hi Mark,
I agree. It’s a skinny deal requiring way too much work. But as it is, the deal won’t fly 'cause the PM says the MH has to be moved.
If I were wanting to “get into” MHs, I’d use this as a learning experience, buy Lonnie’s books, and beat the bushes but my studies right now are in lease optioning pretty houses though I wouldn’t mind partnering up with someone in my area (St. Louis, MO) to add MHs as an additional money tree.
Just wanted to thank you and all the others for your encouraging help. Many thanks!!!
Paul
Re: What to do with a FREE mobile home? - Posted by Anne_ND
Posted by Anne_ND on August 04, 2005 at 16:34:55:
Pablo-
The cost to move a MH is often not correlated to the distance moved. The real costs have to do with set up and tear down- most parks require licensed electricians, plumbers, and gas line people. They are not cheap. I moved a house less than two miles (no teardown) and it cost over $2000 for the move and set up. Plus the cost of new skirting.
Anne
Duplicate Title - Posted by Pablo
Posted by Pablo on August 05, 2005 at 21:41:42:
Hi Steve,
I called the DMV and found out the scoop on getting the title. The owner would simply need to apply for a Duplicate Title.
Costs
$8.50 + 3.50 office fee + 5.00 Quick Title (if possible) = $17.00
Any office can do this.
Takes 4-6 weeks.
If Quick Title, sooner (wouldn’t give me time frame)
However, I spoke with the PM and it’s gotta go so looks like there’s no deal here. But thanks for the great advice.
Paul
Re: What to do with a FREE mobile home? - Posted by Pablo
Posted by Pablo on August 04, 2005 at 17:00:47:
Hi Anne,
Thank you very much for the moving costs. Any idea what the skirting cost you? Thanks.
Pablo
Re: What to do with a FREE mobile home? - Posted by TeddyB_SC
Posted by TeddyB_SC on August 04, 2005 at 18:46:20:
About $450 for a large doublewide and $250 for the labor. I do my own so scratch the labor.
Or, you can check with a mover since they seldom reuse skirting.
The home across from one of the lots I just purchased was repoed a short time ago and the skirting was left behind. I contacted the owner of that lot and offered to remove the skirting for him. I got more than enough skirting to do the small single wide that came with my lot. That saved me from buying $300+ of skirting. In addition, he gave me two sets of steps and a nice 8x8 porch, which was worth another $6-700 in materials.
I am going to continue this process of trying to get all my skirting for free from now on. What I can’t use because of the size(height) I will store for future use.
Be very careful about free mobiles. If you don’t have a lot of experience, they can cost you a lot of money. Especially one’s that need to be moved.
Good Luck,
TeddyB_SC
9 C-notes as I recall ~NT - Posted by Anne_ND
Posted by Anne_ND on August 04, 2005 at 17:49:55:
$900
Re: What to do with a FREE mobile home? - Posted by Pablo
Posted by Pablo on August 04, 2005 at 20:23:56:
Good advice. Thanks, Teddy!
Paul