In today’s 42-minute Mobile Home Investing Podcast episode #33 I’m honored and so proud to introduce you to active Mobile Home Formula investor, Patricia to the co-hosting microphone. In a short period of time Patricia has already gained an incredible amount of market knowledge, thicker skin, 20+ individual mobile homes cash-flowing in her portfolio, and 10+ mobile home wholesales.
Over the last 2 years Patricia, her husband, and John have been working to build her name, portfolio, and reputation in her local mobile home investing market. In today’s podcast we talk about what is working and not working today. Learn from our mistakes on today’s video and Podcast below.
Special Thanks to Patricia for giving value to other mobile home investors she’ll likely never meet.
Becoming a 1-Stop-Shop
If you are not helping local mobile home parks, mobile home sellers, and buyers than someone else is solving their needs. As active investors we try to go the extra mile to help solve mobile home problems of local buyers and sellers, so they may move on with their lives. The more people we help, the more value we create, the more profit we earn.
- When dealing with sellers: It is our job as active mobile home investors to truly understand a seller’s situation, wants, and needs moving forward. In addition to making offers to purchase mobile homes you may also have to help a seller find a new home to live, hire movers, resolve title or deed issues, revolve hidden liens or tax issues, and many other unique or not-so-unique situations. This is part of the reason sellers choose to work with you.
- When dealing with buyers: It is our job as active mobile home investors to deal with quality buyers that are serious and have the ability to close. When dealing with buyers it may be in your best interest to insist the buyers be proactive to provide all paperwork and references you ask for in a timely manner prior to closing or leasing.
- When dealing with parks: It is our job as active mobile home investors to increase local park revenues, make park managers’ lives easier, and work in as many win-win ways as possible. As an active mobile home investor you may wish to add mobile homes to local communities, remove unwanted homes from the park, sell properties to these communities, repair and resell homes within the park, and/or more. The more ways in which you may help, the more valuable you may become.
Genuinely caring about the well-being of buyers, sellers, park-owners, etc. may naturally help encourage you to go the extra mile when trying to solve problems and overcome challenges when helping others. Often times the folks we help have few other options or may be naïve/unsure about their situations.
Pro Tip: Be willing to solve the problems/challenges that other investors are not willing to solve.
Inside a 55+ age-restricted park (senior park)
If a mobile home park does not allow buyers or residents under the age of 40, 45, 50, 55, 60, 65, or any other age it is obviously eliminating a certain segment of your potential buyer pool. In some areas of the country this matters, and in other areas it does not. In certain areas around the country there is a fairly steady demand from senior buyers to be in certain/specific desirable parks/communities/locations. Additionally, in certain areas/states around Fall/Spring will see large influxes of seniors moving from northern states to southern states, and vice a versa to avoid unpleasant temperatures.
Author’s Note: In my older videos I have expressed a public dislike for mobile homes inside senior communities. This feeling has absolutely changed. I’ve since come to understand that some mobile homes inside senior parks can absolutely be desirable by certain buyers for the right prices/terms. However if you are just starting your mobile home investing career I would encourage you to invest within all-ages parks for your first 3-5 deals, then start weighing your options with regards to senior park homes more closely. With that said there are various safeguards you will want to try to implement to reduce headaches, holding costs, and time while reselling. These safeguards include…
- Truly understanding your local market and your potential buyers.
- Purchasing the correct mobile homes in desirable communities at the right time.
- Negotiating free/discounted lot rent if purchasing a mobile home directly from a park.
Disclaimer: If you are under the age required to be approved to live in the community, this may or may not be a deal breaker. Based on experience, roughly 50% of senior mobile home communities around the country will work with an investor they know is underage when properly approached and befriended. This means that roughly 50% of senior mobile home parks will be willing to have you purchase and resell a mobile home within their community as long as they understand you will not be living in the home but will have a park-approved buyer purchasing the home in the very near future. With that said there is still the other 50% of the senior mobile home communities. These communities will perfectly understand your ambition and goals however they will not allow you to work within the park simply due to your age. These parks may not even work with you with an age-approved cosigner.
In the podcast episode below John and Patricia cover:
- 0:40 How Patricia started?
- 5:05 Cash needed to get started?
- 6:24 Patricia’s 1st deal.
- 9:14 How long until your 1st deal?
- 12:06 Patricia’s 2nd deal.
- 14:24 Handyman trouble.
- 19:14 Handyman advice.
- 21:39 Buying from park managers.
- 33:04 Patricia’s goals.
- 34:44 How much free time is needed?
In conclusion you will never learn everything you need to know about real estate investing from reading books or watching videos. While there are many ways to make money in real estate, there are countless ways to lose profits as well. Have fun and take daily action to reach your financial goals. If you have questions, ask them. There are plenty of active investors around to give you help and guidance if you simply ask for it.
