Mobile home as a first investment

1 Reply

I've been on biggerpockets for about a year now and I'm really excited about investing in real estate! I am currently living in a house, where I split the rent with some roommates, but our lease runs out in July, and everyone is going their own way after were done here. So I've been thinking about what my plan is after we move out of here, and how I could use this to begin my real estate career. Long story short, I have been looking at buying mobile homes in my area, because I live in a college town and rents are pretty good for mobile homes here, and its something I have the money to get into. I found one on the local craigslist that I could afford, and I'm thinking about buying it with the intention of renting it out, and using the profits from that to offset my own living situation (kinda like a duplex house hack but with 2 separate houses), or worse case scenario I could just live there and the lot rent plus utilities would be less than what I'm currently paying, and I could have roommates for extra income. I'm trying to think of this from all angles, is there anything I'm missing? Thanks so much for any replies. 

Conner,

I like the way you're thinking; great to see such motivation!

In a mobile home investment, there are two parts.  The land (or lot) and the mobile home itself.  The land appreciates, the mobile home depreciates (rapidly).  Also, moving a mobile home can be expensive ($3k) or a total loss if an older one breaks up during the move.  

That being said, it's a numbers game in the end.  You just want to be the one collecting land that your renters pay for, not the one getting stuck with a bunch of junk trailers.

Good Luck,

Chris

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