Can someone please 19 posts by 9 users

Posted: 02/07/2008 at 04:32PM

Shoot holes in buying MH's using Lonnies system?

Ive read the book, I know there is no " get rich quick" schemes, thats not what I am looking for. It seems pretty basic as to how to do the deals.

In my opinion the only two obstacles would be 1. Finding a cheap MH and 2. Finding MH owners/managers that would let you keep your MH on their lot.

Ive seen a few of you talking " Lonniese" on here, and would love to hear your experiences good or bad.

Thanks in advance!

Posted: 02/09/2008 at 07:36PM

Woops my bad, I usually figure if I know it " everyone" knows it......LOL

Here's the basics.

1) Buy a mobile home at well below FMV say 2 to 3 thousand.
2) Sell the mobile home, seller finance it, with small down 500 to 1000 and 12.75 percent interest rate.
3) Rinse Lather and repeat!

Now what I want from you all is, do your best to talk me out of why I should do this, and I will do my best to defend my posistion!

Thanks in advance

Posted: 02/09/2008 at 09:31PM

Yes paying cash

Not any homes " listed" at 2/3k, you have to find motivated sellers and you make them " name the price" (negotiation tactic detailed in book)

1) One of the prerequisites is to build a good raport with park owners/managers if you cant, dont use the park
2) Its all about margins.......nobody would by a sticks and bricks house if the numbers werent gonna work, dont buy the house if the fixing up costs blow yer budget
3) I have no response for this, except if the MH you are looking at is a terd, then dont buy it.
4) You would qualify the buyer(as would the park) as a tenant. Now here is the beauty of the deal. The person is not a tenant, a MH is not real estate, it is personal property. If the hot water heater goes out at midnight in the middle of January, they WONT call you, its their problem, not YOURS they own the MH, you only own the note.
If they dont pay, you take the MH back (no foreclosure process, its much quicker) then you sell it again, get another deposit, and start over.

If they just skip you put it up for sale again, get another deposit, and start over. Ideally you WANT the people to defalut on the loan. Done right it SHOULD be paid off in one year, then you can just keep selling it.

How can you not turn a profit on something that is FREEEEEEE!

Posted: 02/09/2008 at 10:32PM

excellent point, I can only say that if you had a tenant in a rental the same thing could happen, but you would owe several thousands of dollars. If its a MH lets hope you have your money back out of it, and you can just scrap it.

This is what I was looking for, this contigency never came up when I was reading the book

Im not sure you could trash a MH that bad, I could be wrong

Posted: 02/09/2008 at 10:55PM

I'd call MH investing a " watered" down version of what you do. Most MH candidates dont have 3-5K to put down on a house or they wouldnt be buying a MH.

Thats why you can attract buyers pretty easy, and carry the note for profit. I am sure its not without headache, every business has problems, but please continue to talk me out of this venture!

Posted: 02/10/2008 at 08:01AM

I appreciate you comming up with objections, Ive racked my brain and I cant see too many reasons not to pursue this. I asked my wife the same question and she came up with some of the ones you did.

We just dont have a lot of experience in the RE area, and I just wanted to see if I could carry on a decent " arguement" while defending my posistion, with people that deal in REI. The whole if you wanna get smarter, surround yourself with smarter people than yourself(shouldnt be all that hard) :rofl:

Yes, in answer to does the seller carry insurance, thats a big affirmative.

Posted: 02/11/2008 at 05:10AM

That would be awesome!!!

Posted: 03/24/2008 at 04:18AM

Here's my question.

" If they dont pay, you take the MH back (no foreclosure process, its much quicker) then you sell it again, get another deposit, and start over."

If you don't have to foreclose, then how do you get them out, an eviction?