Hoping to invest in Mobile Home in CA, is the game over?
Hello BP.
I've been saving money and finally have some money to start investing. Since Mobile homes are cheaper, I thought I'd start by reading up and researching on buying one and flip for a Lonnie deal.
It seems there's a new law that's in effect starting January 2014 and it seems the owner financing on mobile home flips are no longer allowed unless one uses a 3rd party lending company?
I wanted to make sure I get the process correctly prior to purchasing a mobile home. Am I right in understanding the new law will make the returns much less due to extra fees for loan company?
If so, am I still allowed to purchase a mobile home, fix it, and then owner finance it but have a 3rd party draft up the loan document and then pass the cost to the buyer as part of the installment payment? Am I right in the information that there has to be some kind of balloon payment or that the loan has to be less than some time frame?
Any info or tips would be appreciated.