I attended the Ohio REIA Conference in Fall 2003. I saw Lonnie Scruggs speak about mobile homes. I didn’t buy his books at that time, but realized that their was a potential investing in mobile homes. After I got home from the conference. I opened up the newspaper to look for houses for sale. I decided to look at the mobile home section while I was looking.
That’s when I found my first “Lonnie Deal.” I typed up a simple purchase agreement before I went to look at the mobile home. I walked through the mobile home and decided that if I was going to get started in real estate investing, I had to buy something. The mobile home was for sale for $3,000. I offered $1,000, and we settled on $1,500 and signed my purchase agreement.
We were set to close in two weeks. I went home that night excited that I was now started in real estate investing. But wait a minute. How was I going to get rid of this thing. That’s when I knew that I had to have Lonnie’s mobile home course. I ordered that course the same night and hoped it would get here before my deal closed.
It did, and It was the best money I have ever spent. (And believe me, I have spent a lot of money on real estate courses). I reviewed the workbook and listened to the cassette tapes twice while I was fixing up this little mobile home.
I spent about $500 fixing it up (no labor included) and spent way too much in advertising. But a beginner has to start somewhere. I sold this mobile home two months later and held the note.
Here are the numbers:
Bought: $1,500
Fix up: $500
Sold: $5,700 (10% down with “owner financing”)
Payments: $190 per month for 31 months, 12.75% interest
Return: Enough
My second deal came four months later in a different mobile home park. I bought for $3,000, put a little into it, and sold it for $5,995. Almost doubled my money on that one. The buyers paid cash! My third deal came a month later in yet another park. I paid $2,000 for a 1985 two-bedroom two-bath 14×70. It needed a new bathtub and a little paint inside. I put about $600 in to fix it up.
Here are the numbers:
Bought: $2,000
Fix up: $600
Sold: $6,900 (10% down with “owner financing”)
Payments: $190 per month for 41 months, with interest
Return: Enough
I just received my second payment from this little deal. I am now driving the mobile home parks every couple of week. As soon as December comes around, I will be ready to buy. I would like to have four more “Lonnie Deals” on hand by mid-January. I am going to be ready to sell all those people their (dreams) first home just as soon as they get their tax return money back.
Life is good. Thanks, Lonnie for the great down-to-earth material you have written. Your mobile home course had everything that I needed to complete my deals. This was the push I needed to get started in real estate investing. Thanks again.