Is this deal worth considering?
A seller called on one of my signs who has a manufactured home. It is a 2100sf 4BR, 3 bath. He paid 72K one year ago. He owes about 68K. His payment is $500 and the lot is $350. He wants someone to take over the payments as he is moving out of state (We are in MI).
I have only delt in single family homes at this point and have no idea if this situation has any profit potential. What could I expect to get in rent for this place or what would it sell for? A home in this area with similar features would go for upwards of $300K if that's any gauge.
Basically, I have no clue when it comes to deals on wheels. Any help would be much appreciated.
Not quite enough info here, but I'll try to point you in the right direction. Is it attached to a foundation and land, or is it on wheels? If it is on wheels,be careful, because they depreciate like rocks. If it was placed on a foundation then it may well be treated as real estate and appreciate similarly to a stick built. Call around to your local MH dealers and ask what you might get if you traded it in on a new larger model.
Good Luck,
Shawn(OH)
Is the Lot... rent or payment toward purchase of lot?
MY first thought when I read it is I get these all the time some are good some borderline.
Unless rental in that are for MH's is awesome I would pass on this one. BTW nearly all I do is MH's and I get calls like this all the time. Some of it is legit in that they are moving some of it is they just want out of a bad situation, usely its they bit off more than they can chew.
I have seen lot rents like this that were just way high..... it would have to be an awesome area for homes to get that much in my area.
Normally lot rents are 140 to 175 here.
Even if you had a good lot rent of around 150 that still makes your part 650 a month... you would need 800 to 850 a month to make it worth while.
Might could get it but it seems risky in this case.... so I would pass, but that is my humble opinion..
Mark