January 31, 1999 – I called a manager of a local mobile home park to see if a certain mobile home could stay in the park. I had talked to the owner and he said, “Sure, it can stay.” I asked him if he knew of any others that might be for sale. He said the park had one for sale for $500.
February 1, 1999 The next day I looked at the $500 mobile and said I would think about it. 12 x 60 1970 It has two bedrooms on one end from the kitchen to the living room wall was gutted to the sheet metal. The rest of the house was in fair shape. After seeing the house, I asked the manager if he knew of any other mobile homes for sale. Sure enough the next door neighbor had his for sale, and I toured that mobile and said I would think about it.
Two hours later the manager called and said they really needed lot rent. If I would pay $80 lot rent, I could pay $250 in six months and the second payment of $250 six months later (zero percent loan). I told him I would do that (after I regained consciousness!) and signed when he would let me.
February 3, 1999 – When I signed the paper work on the first mobile home, I asked him If knew of any other mobile homes for sale. Sure enough he said he did (as of this date, the owner hasn’t returned calls YET). I picked up the second mobile home for $3,000. Talked them down $500 by asking, “What is the least you would take for a cash transaction in a couple of days?”
February 8, 1999 – The owner agreed to pay February lot rent. It is a 14 x 60 1976 it was in salable condition the way it sat.
February 11, 1999 – Ad broke on “used mobile home for sale” (thanks David Segars) for the first couple of days there was a small response. A caller asked If I could hold trailer #2 for him for two weeks. I told him not without a deposit.
February 16, 1999 – Made appointment to show trailer #2. SOLD: 36 payments at $185 monthly @ 12.75%, $500 down. On the way to the bank the first caller called and wanted to put a deposit on trailer #2. After I told him it was sold he said he would buy trailer #1. I told him it wasn’t finished yet he said he didn’t care. SOLD: 36 payments at $150 monthly @ 12.75%, $500 down.
Mobile Home #1: Cost $500 + Misc. $500 = Total $1,000
Sold: 36 payments @ $150 @ 12.75% $4,967 with $500 down
Yield: 178%
Mobile Home #2: Cost $3,000 + Misc. $400 = Total $3,400
Sold: 36 payments @ $185 @ 12.75% $6,000 with $500 down
Yield: 50%
March 5, 1999 – Paully is at the CRE Online Convention in Dallas
A sincere thanks to everyone here at this site–even the newbies on this site who have asked the questions that I wasn’t smart enough to ask. Some have made me angry, made me laugh my brains out, made me cry and instill a since of pride and devotion.
Lonnie Scruggs, thank you for taking the time to write a book [Deals on Wheels] that even I could understand. Terry and J.P., thank you very much for and being leaders.