The trend of living in mobile homes is on the rise due to the obvious reason of uncertainty involved in conventional real estate. The mobile homes are available with a range of basic homes to luxurious ones. Thus, if you are willing to invest in a mobile home park and willing to continue the business by adding mobile homes in it, there are a number of factors that you will need to take into the account. These factors mainly include:
- Capital that you can start with
- The credit
- Demand from buyers and seller in locality
- Laws regarding addition of mobile homes in the home parks
- Your strategy to sell or give out on rent
With that said, there are some ways you can add mobile homes in an already existing home park.
Purchasing new home
The new home with only the basic features can be bought at the price of at least $20,000, while luxurious ones can cost as high as $100,000. The assets or resources that can be spent for buying these homes include cash, private money or bank financing.
The main advantage of buying these homes is that you get instant access to the purchased property without the complications that are usually involved in the purchased of conventional real estate properties. Nevertheless, there is a disadvantage too. The expenditure is too high before you start seeing the profit coming in.
The lenders program
If you are willing to add multiple homes in your home park, right now there is only one program to help you. This program is called creative lender program and it is offered by 21st Mortgage Corporation. Using this program, you don’t need any upfront payment for buying new home. You get highly competitive mortgage rates that too are payable when you sell or give your home on rent. There is a time limit in this scenario though. You get 12 months’ time to arrange a buyer or renter. Until that time, the company wouldn’t ask for the payment. Moreover, you also get the services of professionals who would ensure your new home gets sold.
The only but major drawback is that this program is not accessible in all states.
Finding the owners intending to sell
This method can help you purchase homes in a price that would be less than the homes’ worth. In this method, you consider an arbitrary 3-hour driving radius within which you try to find homes for sale in other mobile home parks. These homes are usually sold for the purpose of ‘removal’. Hence, you got to pay a lot less.
The conclusion regarding whether or not the purchase of these homes can be beneficial is dependent upon the homes’ condition. If the home is requiring major repairing, you may end up paying a lot than what could you expect from a deal like this.
Offering renters the of cost for moving
Offering the cost of moving to the people intending to move in seems pretty unconventional but an effective approach. If your park is located at a desirable location and it has a positive reputation, you can offer this service to increase your competence. You can get some help from Real Estate Virtual Tours to propagate your agenda. This way, the unhappy residents living at other home parks will find your offer viable in order to move quickly.
More from home