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14
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Tekoah Ferro
3
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14
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**Why I’m Betting on the Part of Real Estate Most Investors Overlook**

Tekoah Ferro
Posted


One thing I've learned talking to traditional real estate investors is that a lot of people simply don't see value in mobile homes.

I do.

And I'm building Altstead Collective around that difference in perspective.

My model focuses on undervalued mobile homes already located inside established parks. I acquire the right homes, renovate them strategically, and resell them without moving them from the park.

My first project had approximately $16,000 total invested and sold for $40,750, producing approximately $24,750 in profit.

That was my proof of concept.

Now I'm applying the same fundamental strategy in Washington markets, where renovated homes can sell from approximately $65,000 to $120,000+, depending on the city, individual park, home and local demand.

What I think gets missed is that I'm not simply looking for cheap trailers.

The park is part of the investment.

I evaluate the location, lot rent, park quality, comparable sales, buyer demand, renovation requirements and realistic resale value before I consider the home an opportunity.

And I don't move them.

That's deliberate.

By keeping the home in its existing park, I'm not taking an inexpensive acquisition and burying it under transportation, land, site preparation, utility installation and infrastructure costs.

I'm taking an existing housing asset in an existing community and improving the asset itself.

There is also a massive perception gap surrounding mobile homes.

People hear mobile home and often immediately assign a low value to it.

I see something different.

I see housing that can be outdated, ugly and overlooked—and still have the bones to become a beautiful home someone is proud to own.

That's a big part of what Altstead Collective is about.

Seeing value where other people don't.

Not everyone needs or wants a $400,000 house and a 30-year mortgage. There is a market for smaller, attainable, beautifully renovated housing, and I believe that market is going to become increasingly important as traditional homeownership continues moving out of reach for a significant number of people.

So I'm not trying to convince traditional investors that mobile homes are worth their attention.

They don't have to see what I see.

In some ways, that's precisely where the opportunity comes from.

Overlooked assets. Strategic acquisitions. Thoughtful renovations. Attainable housing.

That's the model I'm building with Altstead Collective.

And I'm just getting started.

Most Popular Reply

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Mike Kirby
  • Rental Property Investor
  • New Braunfels, TX
255
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288
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Mike Kirby
  • Rental Property Investor
  • New Braunfels, TX
Replied
Quote from @Jay Hinrichs:
Quote from @Arman Ahmed:
Quote from @Tekoah Ferro:


One thing I've learned talking to traditional real estate investors is that a lot of people simply don't see value in mobile homes.

I do.

And I'm building Altstead Collective around that difference in perspective.

My model focuses on undervalued mobile homes already located inside established parks. I acquire the right homes, renovate them strategically, and resell them without moving them from the park.

My first project had approximately $16,000 total invested and sold for $40,750, producing approximately $24,750 in profit.

That was my proof of concept.

Now I'm applying the same fundamental strategy in Washington markets, where renovated homes can sell from approximately $65,000 to $120,000+, depending on the city, individual park, home and local demand.

What I think gets missed is that I'm not simply looking for cheap trailers.

The park is part of the investment.

I evaluate the location, lot rent, park quality, comparable sales, buyer demand, renovation requirements and realistic resale value before I consider the home an opportunity.

And I don't move them.

That's deliberate.

By keeping the home in its existing park, I'm not taking an inexpensive acquisition and burying it under transportation, land, site preparation, utility installation and infrastructure costs.

I'm taking an existing housing asset in an existing community and improving the asset itself.

There is also a massive perception gap surrounding mobile homes.

People hear mobile home and often immediately assign a low value to it.

I see something different.

I see housing that can be outdated, ugly and overlooked—and still have the bones to become a beautiful home someone is proud to own.

That's a big part of what Altstead Collective is about.

Seeing value where other people don't.

Not everyone needs or wants a $400,000 house and a 30-year mortgage. There is a market for smaller, attainable, beautifully renovated housing, and I believe that market is going to become increasingly important as traditional homeownership continues moving out of reach for a significant number of people.

So I'm not trying to convince traditional investors that mobile homes are worth their attention.

They don't have to see what I see.

In some ways, that's precisely where the opportunity comes from.

Overlooked assets. Strategic acquisitions. Thoughtful renovations. Attainable housing.

That's the model I'm building with Altstead Collective.

And I'm just getting started.


I like the way you’re looking at it. A lot of investors get stuck chasing the same single-family and multifamily deals, so finding an overlooked niche with a clear value-add strategy can be a real advantage. The key is exactly what you mentioned: the park, lot rent, buyer demand, and resale comps matter just as much as the home itself. I’d also keep an eye on Midwest markets, where attainable housing and lower acquisition costs could create some interesting opportunities in this space.


they are called Lonnie deals.. look it up.. he did this 30 years ago.. 
And the SAFE Act and Dodd-Frank pretty much put an end to Lonnie deals unless you become a SAFE Act licensed dealer. 

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