I came across a property that has 4 mobile homes on a little over an acre of land. The property is about 5 miles from a more populated town but still in a rural area of NC. The background is that it was purchased by a contractor in foreclosure. Most of the mobile homes were in terrible condition. Records show that it was purchased for around $25k and after a total rehab on all of them, all are now rented at $125 per week. The rehab included new bathrooms, kitchens, floors, and appliances. (They actually look new on the inside). The property was originally listed at $135k in September of 2017 and has dropped in price around every thirty days to $99.9k today. I talked with the realtor and they stated they had had several full offers but it is hard to finance since there are no titles for the mobile homes. What are your thoughts on the property? Is it worth the $99.9k if I could get it financed? Any recommendations/comments are appreciated!
@Nicholas McDowell The weekly rental amount shows me the tenants may not be stable. Not sure about the demand in the area but you probably need to check on rents and what types of tenants the area attracts. Tenants paying by the week seem like more the transient type, if you can handle it. Also, try to get information on the overall infrastructure of the home. If they were totally rehabbed, there could be things failing that you don't see (i.e. hot water heater, air conditioning unit, roof, etc.). Not sure if you can get it financed but you can try. Ask around and see if there are local lenders willing to do the deal. Good luck!
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