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284
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Mike Kirby
  • Rental Property Investor
  • New Braunfels, TX
254
Votes |
284
Posts

Poor People get ripped off on Mobile Homes

Mike Kirby
  • Rental Property Investor
  • New Braunfels, TX
Posted

     A friend of mine bought this 15x76 3 bed/2 bath mobile home brand new in 2012 and financed it for 20 years. After 14 years of making payments he still owes $26,000. His lot rent when he bought it was $200/month plus water/electricity. Today it is $700/month plus water/electricity. It just makes me sick that poor people get sucked into these "cheap" homes because that's all they can afford and then they never build any equity. Then they can't sell it because they don't own the dirt under it. He sold it Saturday for $18,500. Most offers were $10,000. So after 14 years he had to write a check for $7,500 to walk away from it. 

    On the positive side, we got him into a stick built home (owner financed) and in 15 years he will have a paid off property that is worth at least double what he is paying for it. 

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