Are Lonne Deals Dead - SAFE Act?
Obviously there are plenty of threads discussing the SAFE Act and how they impact Lonnie Deals. I understand that these laws may differ from state to state but my question is a simple one.
I'll make an overly simple example:
There's a mobile home worth $6,000 that I can buy for $2,500.
I buy it and it needs no rehab so I look to sell it with owner financing for $6,000 at 12% interest.
This is where the SAFE Act comes into play but what if I just sold the mobile home interest free for a higher amount?
Let's say instead I charged $9,000 which I would collect over 3 years. (I can do this because the buy is more worried about the monthly payment than the total price.)
To me that sounds more like installment payments for a piece of personal property than a mortgage...
Am I missing something? Has anyone tried that? Is that legal under the SAFE Act?