Title loans on mobile homes

4 Replies


An individual came to me recently looking to borrow $500 and he has a free and clear mobile home. I told him I would let him borrow the money if I could put a lien on his mobile home.

Anyone know exactly how to do this. In addition, this gave me a good business idea. Title loans on mobile homes (you see them all the time for cars why not mobile homes). Any see any potential problems with starting a mobile home title loan company?



Yes, Dustin is it a good idea, I do it myself quite often. Every time a home is paid off I make sure the new owners know I can give them a loan if they want on the mobile home. This way I suck them back in.

In Texas when you file the Title or S.O.L Statement of ownership and location, there is a place to place yourself as the lien holder. So check you local states Mobile Home Title forms.


If you look at section 8 on this form, you can see where you files for the lien.

Good job you are thinking like a pro.

Dustin, I would suggest consulting with an attorney to determine if this is legal in your state. I had a similar idea last year and discussed it with a RE attorney in Texas. While he didn't say that it would be expressly forbidden, he did have concerns about its legality in Texas. I wound up going in a different direction and did not pursue the issue.


Read the books "Deals on Wheels" & "Making $$ with Mobile Homes" by Lonnie Scruggs. It describes this type of investing. No mortgage company will loan against a used mobile home. The only way that many can achieve the American dream of home ownership is by having an investor like yourself available to make it happen by loaning them the money needed and securing a lien against the mobile home.

I'd caution about this, Dustin. You may need to consult an attorney on this one. Regarding placing liens on homes, I'm pretty sure the lien may have to be related to the home (i.e. promissory note to home, mechanics liens, etc). In some areas, there are some really strict rules for creditors when it comes to homestead law. Hope that helps!

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