Rental Property Investor · Whittier, CA · Member since 2019 · 22 posts · 19 votes
Hi everyone,
I am looking in the Greater Los Angeles area to buy my first rental property and I see a lot of Manufactured homes which are on the cheaper side. Anyone have any experience or insight about investing in some of these properties? Are they worth it? Thanks!
@Mark Abbate I would not recommend looking at mobile/manufactured homes for potential rentals if they are in mobile/manufactured parks/communities. Most of the parks/communities have rules against renting out your unit. It's considered subletting. If you happen to find a unit on land you own, this may be a different story, but these are EXTREMELY few and far between in LA County. Heck, they're hard to find in rural Riverside and San Bernardino county and when you do find them they're not near enough a city to make them a decent rental.
If you want to flip mobile homes, and there can be a little money (and I do mean little) in it if one is just starting out, you have to be extremely careful. Since the purchase prices are much lower than stick-built housing, the chance you will loose money is greater. If your rehab costs get just a little over budget, or your hold time goes longer than expected your profits can be gone in a flash.
Awesome, thank you guys for the info. After doing a little more research I have found the same to be true. I was just curious as to why they were so cheap.