"Flipping Mobile Homes"

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Yanita
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Mon Jul 30, 2007 6:48 pm

Hi everyone,

I have been asking recently if it would pay to flip MH's...

Thought I would throw this out to all of you and see what the thoughts are out there.

If anyone has done this please include your thoughts and experiences.

Yanita
The difference between success and failure is who gives up first!


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Robert
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Mon Jul 30, 2007 7:11 pm

I think Mark did this a time or two early on. I have considered it and always keep my eyes open for right deal.


Take care and best wishes,
Robert
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JD
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Mon Jul 30, 2007 10:06 pm

I have thought about it, but when a deal came up, I didn't have the money. Now with real estate taking such a surge for years and then cooled off and even receded, the used ones I run into are all over valued.

JD
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All information and advice given is for entertainment and informational purposes only. The person doing the work is solely responsible to insure that their work complies with their local building code and OSHA safety regulations.

troyster
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Mon Jul 30, 2007 11:12 pm

you pretty well have to buy one thats fairly solid structurally wise with good solid electrical and plumbing. Gotta buy when prices are low and live in it or rent it till the market surges. bought mine for 9500 bucks and spent 6500 on it for total of 16000 and home is worth between 20000-25000 right now as housing markets on fire around here right now.

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Maureen
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Tue Jul 31, 2007 12:48 am

Hey Yanita!

That's how we got this place!

Our former landlord was into flipping mobiles. He was so proud of himself when he sold us our home at $80K, that's home, property and outbuildings, we have 2 sheds and one shop with power, phone, cable. etc.

He got too anxious and didn't do his home work. When we bought the place, he still owed $60.000 on it.

He carried the loan at that time. A year later we had the snow storms, found out that he never actually transferred the home owners insurance that we were paying for yearly.

We refinanced after that fiasco. When he came over to settle the damage for the carport, which we got just over half, he asked how much the appraiser figured the place was worth. I just chuckled and told him that he really didn't want to know. He kept pressing, so I finally told him! It was appraised at close to 166k at that time! We took the 2K loss on the carport, I haven't heard from him since...... go figure?

We pocketed over 90k in equity because he wasn't diligent and he was greedy!

Yep, the housing market has really cooled down this last year! That's a very important aspect to look at! But our home is now valued at over 200K, with the down slide of the market here.

If you decide to do this, you have to really work at it! I'd suggest really learning about real estate and homes in your area. I had a real estate license in the early 80's. I still have one cousin that is in real estate. It's common knowledge that my area is only going to go up in value over the next 20 to 30 years! Even if the market is flat. It's the one area that you can still get to anywhere within 20 to 30 minutes, in either Reno or Sparks. It's also the only close area where you have actual property instead of a lot.

By the time Warren and I sell, when we're really, really old, our property will be subdivided for 2 to 3 homes. They are already doing this just down the block from us!

If you really work at it, it can make you money! Personally, I wouldn't do it right now. You're looking at a real tough job in about any area of the country! If you can't sell the place after fixing it up, you're stuck renting it out. All home loans are getting really tough right now, that will trickle down to mobiles too.

Bottom line, how much work are you willing to do?

Maureen 8)
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Yanita
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Tue Jul 31, 2007 6:06 am

Hi Guys,

I miss worded my orginal post. I am not going to do the flipping, I got a PM asking about flipping.

LOL, with all the renovations and upgrades we have done in the past year, I would not willingly put myself in a posistion to keep on doing it!

Thanks guys...

TYanita
The difference between success and failure is who gives up first!

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Harry
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Tue Jul 31, 2007 3:30 pm

Hi

Not a lot of potential for MH flipping (buying below market value and selling quickly) around here....but I do keep my eye out for deals.

I do know of 2 individuals who buy the FEMA units make a little money fixing and selling them.

Yep, our current (retirement) residence has really increased in value....but we need a place to live so we ain't selling ... just yet.

Harry
Aside from the roof leak, soft floors, rats, mice and bursted plumbing ........ how do you like it?

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Greg
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Tue Jul 31, 2007 6:11 pm

That is basically what we did with our daughters home, paid $300, overhauled it, gave it to her and we are STILL paying for things. I thing we did something wrong! Greg
"If I can't fix it, I can screw it up so bad no one else can either."

geraldk
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Tue Jul 31, 2007 7:31 pm

hindsight being 20/20 10 yrs ago i could have bought 15-20 for 15-20 thousand each and because of the alta economy coulda sold em for 100,000 plus each
im not a dr. but ill take a look

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Yanita
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Tue Jul 31, 2007 8:40 pm

Hey Greg,

Think I know what you did wrong..you gave it away! :shock:

Yanita
The difference between success and failure is who gives up first!

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Greg
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Wed Aug 01, 2007 5:39 pm

If I gave it away, why is it still costing us money??? Perhaps I should try giving the daughter away! Greg
"If I can't fix it, I can screw it up so bad no one else can either."

PennylessZ28

Sun Aug 12, 2007 4:31 pm

I don't have pictures yet, but I just bought my second mobile for that very purpose.

After the experince with the one I'm living in, I think in one month I can have it good enough to sell to someone. A cheaper affordable low income housing solution to someone in need, and it will be nice and enjoyable for them. I'm excited about making someone happy. And making some money at the same time.

The one I got I paid 5 for, I'm looking to invest 1500 to 2K in it and sell for 11500 and let them work me down to 10 or 10500 so they feel like its a deal.

It's pretty much a simlair layout to mine, 2 bedrooms, 2 full baths, but its 80x18 , wider than mine.

PennylessZ28

Sun Aug 12, 2007 4:37 pm

I have a question, I see some of you comparing your homes to the housing market, I was told that the state values our homes as cars.

I don't pay the taxes my folks pay on their home. And the homes here don't go up in value. And in my opinion a mobile home would only devalue as time goes on, becuase it falls apart like an automobile.

Is this not the case where some of you are?

I also think now is a good time for mobile homes, as a lot of people are going to be looking for more affordable homes, as many people are going to be losing their stick built homes.

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Yanita
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Sun Aug 12, 2007 5:44 pm

Hi,

Some of the homes here on site, such as mine are listed as "real property", meaning they are taxed just as a traditional stick built it. This happens when your home is on property you own and brick underpinning (skirting), it is then considered real property. Your home is then no longer "titled" at the MVD, it is listed on your property deed.

As far as many losing there homes now, this is true, but it also holds true in the MH marketing as well. Many folks that are trying to buy mobile homes have poor credit and still do not qualify for loans. Also financing for MH is very limited.

JMO, Yanita

PS, I edited your above post.
The difference between success and failure is who gives up first!

PennylessZ28

Sun Aug 12, 2007 10:05 pm

Ok, now I understand, thanks. I didn't think about land ownership.

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