Just starting out and would like to hear thought about flipping trailers, I realize profits wouldn't be that much but I was thinking it would be a lower investment to help get my feet wet. just looking for advice
Hi Vinnie, I do not have any experience in this but what may help to find someone who does is by using more key words. Try adding a city, state, area code those types of words will probably help get you an answer.
I flipped two trailers last year.
However Florida is going to be tougher I think because they're EVERYWHERE and there are already lots of people doing it there. Still totally possible though.
My first trailer I got a response to an ad I had posted on CL, the mother died, family had it listed with a realtor and it hadn't sold. It was really nice and included a recently remodeled kitchen. I told him to call me when they were at the end of their options and I'd make an offer. It was listed at $26,500 I paid $6,000 for it. What killed us with this one was the lot rent bumped holding costs and made it harder to sell. It was a VERY upscale community and lot rent was just under $900 a month. After 2 months we sold it for $14,500 a total profit of about $4,000. Nothing crazy...but this was my first go round.
Second one I responded to a CL ad. Similar situation mom passed, but this one was in much worse shape. I literally paid $50 for it. I hired a contractor to replace some walls/flooring/fix some plumbing and he fudged up literally everything he touched and caused an electrical issue I had to pay to have fixed. So $2k of expense for literally nothing- all work I had to re-do.
So in the 90 degree middle of July I spent every second not at my 9-5 in a metal box learning to put down flooring and put up dry wall and frame windows.
This trailer was in a lovely privately owned park that felt like a campground- and we sold it the day after we bought it. Someone saw it pre-reno. Wanted to live there so badly. Was so glad we were fixing it up. Make us a full price offer before even a spec of work was completed. So we also had a timeline of 1 month to finish all the work too.
That was we paid $50. 1 months rent at $450 and about $3,500 total materials + 2k out the door on a scummy contractor.
Sold this one for $12,000 so about $8k profits here.
Profits haven't been earth shattering but not a bad profit for a month's worth of work.
Flipping depends entirely on the local market and the community it is in. It depends on whether it is a "trailer" or a mobile/manufactured home. You probably do not know the difference meaning you also probably do not know your market.
It makes no difference whether you are flipping apartment buildings, SFHs or mobile homes you must first learn your market. Once you do that you have the answer to your question.
In my market, on a mobile/manufactured home, I can make $20,000- $40,0000 on a flip.
@Vinnie Filippone Welcome aboard. There are lots of mobile (manufactured) homes and lots of people doing this as a business. As was mentioned, learn your area and market.
@Natalie Kolodij Good job on your deals.
Since June 15, 1976 they are all called manufactured homes. So trailers is old school. No sweat. I say trailers (perception of less value) when buying and manufactured home or HOME (perception of more value) when selling. Semantics.
Buy low, sell high, rinse and repeat.
Again good job and keep at it.
I do refer to them as manufactured homes on all of my advertising...I just....Grew up in a single wide they'll always be trailers to me ;)
Thank you all for your comments. just purchased a manufactured home for my first flip. wish me luck!!
When buying properties in a park, do we have to abide by the credit restrictions? I've seen some advertised for cheap sale, but you can have evictions or felonies? Does this just apply to becoming a renter?
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