BRRRing a Mobile Home?

6 Replies

I'm finding a lot of deals on mobile homes in my area, Spartanburg, SC, but I can't find a local bank who will offer refinancing to an investor on mobile homes. My current goal is to use my HELOC to pay cash and fix one up and then use the BRRRR strategy and refi so I can get my HELOC back. Is there anywhere else I can look to try to refi once I fix it up and rent it out?

It will be tough to finance these type of properties as buy and hold, many investors just have them paid off due to the lower price point or opt to own the parks and not the mobile homes themselves.

@JD Morris Try 21st Mortgage or a local credit union. Otherwise, you can always try private lenders (usually best with those experienced and know the asset class). Good luck! 

Most banks have a bad vibe towards mobile homes in general. If they finance them they are just as strict if not more than FHA financing. It must be no older than x years old, must not be a fixer upper, etc. Mobile homes are a very difficult thing to finance with typical banking financing. Keep in mind, mobile homes in parks are typically not going to appreciate over time. In the 2-3 years you may live there doing the BRRRR strategy you may not get the sale price you're hoping for BUT you could get some great return on the rents if you bought right initially.

Originally posted by @Rachel H.:

@JD Morris Try 21st Mortgage or a local credit union. Otherwise, you can always try private lenders (usually best with those experienced and know the asset class). Good luck! 

Thank you!  21st Mortgage seems like they might be the place to go.  They at least have given me hope initially.  

For the record, these homes I'm finding are not in parks.  They're just on their own piece of land.  Thanks everyone for your replies.  I'm not sure why I didn't get notified... I'll adjust my settings so I can reply faster.

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