How to Succeed at Real Estate Mobile Homes

Installment #20 Final Installment

Mobile homes represent a huge opportunity for the serious investor who is looking for large profits overall. The best way is to purchase the home outright, and offer it on the market either as a rental or as a lease/purchase option or even a complete sell, with owner financing. Mobile homes depreciate in value rather quickly, which means they are not worth as much as a brick and mortar type of house. However, most people who have bad credit, and simply cannot afford to qualify for a normal mortgage will happily purchase a mobile home under either of the two selling options.

Just in my area alone, there are six different investors who operate this way, all of them have waiting lists of people who are in line for future homes they come across. If a vacancy occurs, it is typically empty less than a week after it is ready to be sold or even rented. This is a much faster rate than traditional homes even attempt. Part of the ease is that less paperwork is typically involved, which makes the closing process much easier, and faster to complete.

Many mobile home owners who are looking to sell will walk away taking much less than they are asking because their home has been on the market for so long. They are usually unable to get their asking price, and become quite anxious to rid themselves of the property. This means the seller is going to be quite flexible in terms of price, and even possibly allow a down payment with payments to pay off the remaining balance due.

Doublewide units are more popular and easier to sell, however they are also more expensive. You should attempt to only work with three bedroom units regardless of single or doublewide simply because they are a faster sell than a one or 2-bedroom unit. You are going to quick profits here; you do not want to be sitting on the unit for a long period of time. Vacancies cost you money, always remember that, the vacancy ties up money you could be investing somewhere else.