All Forum Posts by: Danielle Hicks

I work for a manufactured home lender and we're looking for more funding as we expand. I was speaking with someone in the finance space and they suggested a hypothecation loan. After looking in to it, it seems like a better option than selling our notes. Unfortunately, I can't find much information on where to get a hypothecation loan. Any recommendations or insight on that? We have hundreds of notes to back the loan, and it's a solid business model.

The other option is just a traditional loan, but the issue we're having is the term lengths. Our loans go for a maximum of ten years, and we haven't found a lender that offers ten year loans. If anyone has recommendations on business lenders who have long terms, I'd love to hear them.

Since loans on mobile homes are not secured by real property, they’re not mortgage loans, but are chattel loans. Real estate home loans can be safely secured for 30 years, as the value of the land itself should rise enough to offset the 2-3% annual depreciation of the improvements. Even a marginally maintained home should rise in value over 30 years. Ever see what a 30 year old mobile home looks like and is worth? I’ve nothing against the mobile home industry, I’ve owned and financed a number of MHP. But reality is mobile homes are a fast depreciating asset; most homes built on a pier and beam or slab foundation are an appreciating asset.

I have to disagree on that...I started out as a mobile home investor buying homes in communities, and only ever had my properties increase in value after a few years (if not sooner). We're also talking a max loan term of ten years, not 30.The myth that they only depreciate is prevalent, but mostly false (of course any investment can depreciate, even SFH mortgages). I appreciate your take on it, though. There are plenty of companies that buy mobile home notes because of their value, but I'm just curious on the actual hypothecation part.

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My company is looking to start selling our performing notes (10-12% return rate, performing for over a year). I know nothing about this and am looking for some guidance. Any resource recommendations on how to get started selling them? Where to sell them, how much is a fair price? They're in the manufactured home space and are all low risk loans approved by a licensed MLO, if that makes a difference.

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I wasn't sure where else to post this, but it sort of fits with the topic. The company I look for is seeking out more private investors to fund our manufactured home loans. We have a 10%-12% return rate and it's very low risk (we always have someone guaranteeing our loans, so investors always get paid no matter what). Where can I go to find investors who'd be interested? I have tons of experience in marketing and sales, but no experience in finding investors. Any recommendations on where to look? Or where to buy a reliable list of active investors?

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All of the threads I've seen about seller financing mobile homes are from several years ago. Can anyone give me some insight into the process? I've read Deals on Wheels and understand the need to be cautious with Dodd Frank. But, I also know it can be done. Are there any good resources (besides a $5,000 mentorship course) out there? I'm rehabbing a mobile home and want to go this route to sell it.

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All Forum Posts by: Danielle Hicks

Danielle Hicks has started 4 posts and replied 6 times.

Post: Where Can You Find Hypothecation Loans?

Post: Where Can You Find Hypothecation Loans?

Post: Where Can You Find Hypothecation Loans?

Post: Note Selling- Where to Start?

Post: How to Find Private Investors?

Post: Seller Financing a Mobile Home