All Forum Posts by: Reggie Wright

Newbie question: I want to know if you can offer seller financing to buyers if the property was purchased using 1. Subject-to method 

or 

2. Seller financing? 

I'd appreciate any input 

This thread was a good read. I'm learning everything I can about seller financing. Zion, how did the deal turn out?

First I want to thank each of you that took the time to reply. I'm grateful for the responses. I'm in agreement with the general consensus that this is NOT a deal. There's way too many issues, the main ones being the age of the home and the title. Thanks for helping me avoid a landmine.

The seller is an elderly lady who recently lost one of her children to a drunk driver and wants to sell her mobile home (MH) to pay for funeral debt. I want to help her solve her problem and make a profit while doing so. I'm trying to figure out if there's an opportunity for a deal.

Details:

Seller lives outside of Odessa TX city limits

Selling 1969 12'x55' 2 bed/1 bath mobile home. 

Asking price has dropped to $6000

Problems: Title is in name of deceased relative. Home needs to be moved, The home has a few soft spots in the floor, bathroom needs to be tiled, toilet needed, bathtub needs repair, carpet throughout home needs replacing, no A/C. 

I don't know how much the repairs cost or any problems I've overlooked. I'm planning on exiting the deal by flipping it or selling it on payments. I posted a test ad in my area and got good responses for a 2/1 at the $24k price range. Since it is an older model I'd figure discounting it to $20k. An older mobile in that area (within 2 miles of the city limits) can rent for about $650 conservatively. I spoke with a local investor and he recommended that I offer on the condition the home stays on the land or if the land is included in the deal. 

As I mentioned I have no clue what I am doing, therefore I'm sure I've left out important information. Please ask for anything I've missed.

What sort of response rate do you want to see from a test ad?

I want to find out how much 2 bd and 3 bd mobile homes sell for in my area. I've posted a couple of test ads and want to know what sort of response rate would indicate good pricing? (For example, perhaps 10 or 20 calls a week)

In other words, what response rate would a seasoned investor anticipate when posting a test ad?

@Anthony Aguillard is right - the Permian Basin Real Estate Investors (PB REI) Group should be on your list. We've got guys and gals who specialize in wholesaling, Single Family Residence (SFR), Mobile Homes/Mobile Home Parks, etc.

Our next meeting is in Midland:

http://www.meetup.com/Permian-Basin-Real-Estate-In... 

Good luck!

Hey Colby,

Glad to hear you are taking action. As they say the more you learn, the more you earn. If you'd like, you should tell us about how you closed your first park - that'd be a good learning experience for the rest of us. 

Best of luck to you on your journey!

Welcome Zerimar!

A good read for wholesaling is the Ultimate Beginner's Guide to Wholesaling here on BP (https://www.biggerpockets.com/renewsblog/2015/01/3...)

You might want to consider mobile homes as your first buy and hold investments. They are cheap to buy (compared to a typical SFR) and produce good cash flow. Check out Zalman Velvel's Mobile Home Wealth to learn more.

Good luck on your journey!

Mobile Homes might depreciate a bit but they provide great cash flow and have a low barrier to entry.

If you want to learn more check out Zalman Velvel's Mobile Home Wealth, John Fedro's posts and Youtube channel, as well as the Mobile Homes & Mobile Home Park investing forum here on BiggerPockets.

https://www.biggerpockets.com/forums/30-mobile-homes-mobile-home-park-investing