I took the time to really learn the ins and outs of the business. And, did what I had to do to get to my first mobile home deal – it took me almost a year. After completing my first deal, I can say I really learned a lot. Though it took a lot of time and hard work, I can honestly say that I found that I do enjoy the Mobile Home Investing business.
5 Reasons Why I Enjoy Mobile Home Investing
1. No Late Night Phone Calls
For all the landlords out there, you may be able to relate. As a landlord, you still have to take care of all the repair issues for your tenants since they are renters. Either you can take care of them or you can hire someone to take care of them for you. Either way, it will require time on your part whether or not you are physically doing the work and/or managing someone to do it for you. With mobile home investing (if you decide to offer owner financing), then you are dealing with homeowners – not renters. There's a big difference. Homeowners are responsible for taking care of their home since they have an interest. Renters do not. Most times, since renters do not have an interest in the home they will expect certain repairs to be made which is the responsibility of the landlord. More responsibility equals more calls.
2. No Repair Issues
Again, if you are a landlord – you will need to take care of all the repair issues for your tenants. With mobile home investing (f you decide to offer owner financing), you deal with homeowners not renters. Homeowners will be responsible for taking care of all the repairs on the home which means more money in your pocket and less time involved.
3. No Middlemen
In most cases, there are less people to deal with when investing in mobile homes. When you are buying a mobile home (as personal property), you will be dealing directly with the seller in most cases. Rarely have I seen a real estate agent involved unless you are buying a mobile home and the land. When you are going to close on the home, you usually can deal directly with your local government authority in charge of manufactured housing. In most cases, using a title company is optional (usually when there is no third party lender involved) though it can depend on the comfort level of all parties. If you and/or the seller feel more comfortable, you can use a title company to close. Likewise, there will be less people involved in terms of property management if you're dealing with homeowners. Remember, homeowners are responsible for taking care of the home while renters do not. In many cases, the only management you will have to deal with is the park management (if you decide to buy in mobile home parks). To sum it up, less people involved equals less stress.
4. Lower Costs
Let's face it – it takes less money to buy a mobile home as compared to a single family home most of the time. What does this mean? It means lower costs in all areas including closing costs, insurance, taxes, etc. Since you put less money into it, it frees up more of your money to go out and do more deals – more money equals more deals.
5. Less Time Involved
This is probably my favorite reason to invest in mobile homes. Since you are dealing with homeowners who are responsible for taking care of the home, it frees up your time to do other things. Most of the time, you are just there to collect payments. Sure, you may have to deal with the park management (if you are buying in parks) but that's only when issues come up. Once you complete a deal, that's it – no more maintenance issues and/or dealing with calls from renters. Think about it. If you are a homeowner, when was the last time you called your bank for a repair issue? Never. That's not your job – it's the homeowner's job. Less time involved means freeing up time to go out and do other things like looking for other deals. With mobile home investing, once you've established yourself and have a few deals going then you don't have to work as hard scurrying around looking for other deals. For me personally, it's all about time and cash flow. The cash flow coming in from current deals help to fund new deals – more time plus more money equals more deals. And, more deals plus more cash flow equals more time for me to enjoy life and do the things I want to do, not the things I have to do.