All Forum Posts by: Adam D.

Last year had a similar situation. Inherited a tenant who was a huge challenge for the previous owner. Met with the tenant explained to them that I needed to rehab the unit. I told them if they could move out in a week I would pay their moving expense. Worked out great. Everyone wins.

Personally, I try to stay away from getting litigious with tenants unless it's completely necessary. I would suggest making a deal with the tenant that incentivizes them to move and make sure to have them sign an addendum detailing the new agreement. 

I am switching all my leases over to month to month @Anna M.. Give me a 30 day notice when you want to move and I'll do the same when I want you to move. 

I've found that yearly leases mostly benefit the tenant. A landlord can't raise rents, could be stuck with a bad tenant for a year or longer, can't sell property, the list goes on and on. 

I used to think that a tenant with a yearly lease would be incentivized to honor the lease. But I've found that when a tenant wants to leave they are going to leave. You really don't want a tenant in your property who doesn't want to be there. All of a sudden things start breaking and they become a pain just so you'll release them from their lease. IMO it's better to get someone in there who wants to be there. 

I am guilty of this for sure. But no one will know because I just started posting on Bigger Pockets so no one will read this response :). 

But seriously when someone is making a lot of sense I could care less how many times they've posted or how many votes they have. There are people with 10x the posts/votes I have that have never done a deal in their lives. 

Learn what you can from others, do your due diligence, and take action!

I do, and usually because that's when the lease ends. When raising rents I consider the possibility that the tenant might simply decide to move. If I'm not willing to take that risk I don't raise the rents. Since I do my own property management I don't mind turn over that much. They aren't that expensive for me and I've always been able to get more in rent. 

If you're worried about turn over consider incrementally raising the rent. Raise rent twenty five dollars a month until you arrive at the desired amount. I've had good responses to this strategy. Good luck!

As Dan said First Community Bank in TC is a great option for financing. John Grey is the individual I've worked with and I highly recommend getting in touch with him. 

Traverse City is a tricky market. Everyone wants to live here and it's not cheap to do so. You can in turn get higher rents than other areas but chances are you will have to pay more for the properties to begin with. 

That being said it can be done! I recently purchased a quadplex in TC. But it was off market and there was a line of folks ready to make an offer if mine didn't get accepted. 

Well, after a ton of phone calls and being rejected more times that I like to remember, I believe I've found a small local bank that will portfolio the home. Thanks for the ideas and encouragement everyone. 

I sincerely appreciate it!

@Joshua D. I did try a few local banks asking if they had portfolio loans. The one told me they wouldn't want to spend their in house funds on a manufactured home. Another told me that they weren't experts on manufactured homes and to try a couple other banks. Then another portfolio lender told me they were not able to fund manufactured home...

But maybe I need to keep trying like you suggested 5-10 banks. There has to be some out there who will finance manufactured rental properties.

@Rick Pozos You're absolutely right and I'm working on it. That's why I'm here now! Up until this point the folks I'm networked with locally had all the answers I needed; however, no one seems to have a good solution to financing manufactured rentals. So I thought I'd check with the Bigger Pockets community and I was surprised I couldn't find much information on the topic.

Thanks for the ideas. I hadn't thought about suggesting a self directed IRA to private lenders.

Hi everyone,

Does anyone know a good way to finance a manufactured rental home? 

Fannie Mae no longer finances them unless they are your primary or secondary home. The home I own was built in 2005, has a poured concrete foundation, a 2 car attached garage, sits on .41 acre in a good neighborhood, and has been rented with no vacancies for over 3 years now. 

The home is currently financed through a private lender on a short term loan and I will need to find a new lender shortly. I cannot move into the home to make it my primary as it is currently leased.

I can't possibly be the only person who has had this problem. Any thoughts/ideas would be appreciated!