Mobile Home Rentals?

Sawyer205

Six Pointer
I was curious if any of you owned/rented out mobile homes? Any success? Wish you would bought more? I’m thinking about purchasing some for cash flow in the short term, but more so for later when I’m of retirement age.

I realize rentals can be a headache if you don’t get the right tenants, etc.

TIA
 

ncscrubmaster

Eight Pointer
Contributor
Run. Fast. I’m mean run. I owned one I used to live in years ago. I bought a house and rented it for years. It was the biggest pain in my ass I have ever dealt with. I would rent it all was fine then it would start. Late payments then no payments. Complaining about everything. Calling me wanting me to change light bulbs complaining about there high power bills you name it. I would get them out one way or the other. Some took money and the sheriff. Piles of trash, old tvs, mattresses you name it. The dumbasses even stole the shower heads. One come by one day to check there mail while I was in the yard cleaning up there trash after being evicted. I went out to the mailbox and ripped it out of the ground in front of them and threw it in the trash. Always cost me more than I even hope to make. Last March is when I got a new lease on life and sold that pain in the ass. The birds just sounded better and the sun seemed brighter after that. I just paid last years taxes on it not long ago. The gift that keeps on giving. I won’t be renting anything out ever again. I think your headed down a long endless road.
 

Sawyer205

Six Pointer
Run. Fast. I’m mean run. I owned one I used to live in years ago. I bought a house and rented it for years. It was the biggest pain in my ass I have ever dealt with. I would rent it all was fine then it would start. Late payments then no payments. Complaining about everything. Calling me wanting me to change light bulbs complaining about there high power bills you name it. I would get them out one way or the other. Some took money and the sheriff. Piles of trash, old tvs, mattresses you name it. The dumbasses even stole the shower heads. One come by one day to check there mail while I was in the yard cleaning up there trash after being evicted. I went out to the mailbox and ripped it out of the ground in front of them and threw it in the trash. Always cost me more than I even hope to make. Last March is when I got a new lease on life and sold that pain in the ass. The birds just sounded better and the sun seemed brighter after that. I just paid last years taxes on it not long ago. The gift that keeps on giving. I won’t be renting anything out ever again. I think your headed down a long endless road.
Wow! Sounds like fun! Thanks for the feedback.
 

catfishrus

Twelve Pointer
I don't do mobile homes but I have a few houses...wish I had bought more when the economy was bad. Its hard to buy one now and rent out to make money around here. I started about 6 years ago and everybody told me not to do it. Looking back in my opinion it was one of the best moves I made in my life. First one I bought..I paid 75 grand for it and spent 7 more on it. I rented it out for the first three years for 814/ month. Last three has been 905/ month. Zillow has the house listed at 180 grand..it will bring close to that also. I haven't been beat out of one months rent...but its coming and I know it. The problem I face is this...I suck at collecting money and I know it. I put a sign up in the yard of this house for rent by owner....every joker on the street was calling me wanting to rent it. Had one willing to pay me three months rent up front. I asked if he had a job..".yes..I'm a softball coach". I turned it over to a real estate and solved my problems...they do the back ground checks, collect the rent, and get the calls. They have a very strict guideline to rent from them and the owner admitted to me the day I turned mine over to them....I quote him " I been renting houses for 35 years and every once in a while I still learn a new trick. He also said your deposit is your last months rent, they will move out in the middle of the night". I pay them 9-10 % to handle it for me. Money well spent as far as I'm concerned...they know what they are doing. Most people who complain about rental property try to rent it themselves. On the other hand look at the 3 most wealthy people you know...2 out of that 3 will own rental property. Its not a money maker so much as a wealth builder in my opinion. Which leads to why I don't do mobiles...they don't gain in value like a house. You got to buy them dirt cheap to do it. Make your money and throw them away in the end. Basically you only going to make money 9 months out of the year because it takes 3 months to pay the taxes and insurance.
 

Sawyer205

Six Pointer
I don't do mobile homes but I have a few houses...wish I had bought more when the economy was bad. Its hard to buy one now and rent out to make money around here. I started about 6 years ago and everybody told me not to do it. Looking back in my opinion it was one of the best moves I made in my life. First one I bought..I paid 75 grand for it and spent 7 more on it. I rented it out for the first three years for 814/ month. Last three has been 905/ month. Zillow has the house listed at 180 grand..it will bring close to that also. I haven't been beat out of one months rent...but its coming and I know it. The problem I face is this...I suck at collecting money and I know it. I put a sign up in the yard of this house for rent by owner....every joker on the street was calling me wanting to rent it. Had one willing to pay me three months rent up front. I asked if he had a job..".yes..I'm a softball coach". I turned it over to a real estate and solved my problems...they do the back ground checks, collect the rent, and get the calls. They have a very strict guideline to rent from them and the owner admitted to me the day I turned mine over to them....I quote him " I been renting houses for 35 years and every once in a while I still learn a new trick. He also said your deposit is your last months rent, they will move out in the middle of the night". I pay them 9-10 % to handle it for me. Money well spent as far as I'm concerned...they know what they are doing. Most people who complain about rental property try to rent it themselves. On the other hand look at the 3 most wealthy people you know...2 out of that 3 will own rental property. Its not a money maker so much as a wealth builder in my opinion. Which leads to why I don't do mobiles...they don't gain in value like a house. You got to buy them dirt cheap to do it. Make your money and throw them away in the end. Basically you only going to make money 9 months out of the year because it takes 3 months to pay the taxes and insurance.
Thanks for the feedback! Your comments are a good reminder that it pays to have a property manager.
 

Mack in N.C.

Old Mossy Horns
If you have septic systems on the rental beware.........We had 1 and the biggest and I mean the biggest problem was yahoos driving big trucks in the back yards over the lines and messing up the lines. you need to make sure that cant happen.
 

turkeyfoot

Old Mossy Horns
I had considered this few years back and I was strongly warned against renting mobile homes by several. I'm sure it could work with person with good business skills and little luck i have neither so I didn't do it. I have seen mess people can make in relatives that rented out house it looked condemned by time got eviction done
 

Sawyer205

Six Pointer
I had considered this few years back and I was strongly warned against renting mobile homes by several. I'm sure it could work with person with good business skills and little luck i have neither so I didn't do it. I have seen mess people can make in relatives that rented out house it looked condemned by time got eviction done
This is the reason I lean to SW mobile homes.... doesn’t cost much to fix compared to a real home.... there are some nasty folks out there for sure.
 

hunter

Six Pointer
Contributor
Odds are likely against it working out well unless you are in just the right place where there is demand for rentals AND the right kind of renters. I know a few people that have had some success but it is just not worth the hassle in most cases for most folks. Probably better to invest in a regular home, get a property manager unless you want the headaches, and let the property appreciate in value while growing equity with the rental fees paying most of the bills.
 

JoeSam1975

Six Pointer
Contributor
I never rented mobile homes but wish that is what I bought instead of buying the houses and duplexes I have. Have been burned pretty bad twice even using a property manager and it is one of the better managers around. Had to lay down 7500.00 between tenants once. Mobile homes are much cheaper and easier to work on.
 

Moses

Four Pointer
Not mobile homes but I’m waiting on a real estate correction and I’m going to pick up a few houses. My parents have about 10, it is their retirement income. Credit checks are a must. They have been blessed with good tenants for the most part. Knowing your rights as the property owner, as well as how to evict a tenant. If someone else can buy me a house over 8-10 years that’s a no brainer. Just impossible to make the system work with real estate being peaked out right now.


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Sawyer205

Six Pointer
I never rented mobile homes but wish that is what I bought instead of buying the houses and duplexes I have. Have been burned pretty bad twice even using a property manager and it is one of the better managers around. Had to lay down 7500.00 between tenants once. Mobile homes are much cheaper and easier to work on.
My thoughts exactly.
 

Sawyer205

Six Pointer
Not mobile homes but I’m waiting on a real estate correction and I’m going to pick up a few houses. My parents have about 10, it is their retirement income. Credit checks are a must. They have been blessed with good tenants for the most part. Knowing your rights as the property owner, as well as how to evict a tenant. If someone else can buy me a house over 8-10 years that’s a no brainer. Just impossible to make the system work with real estate being peaked out right now.


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Yep, pay for the initial investment and let the renters pay the rest.... win win.
 

pinkfletch

Six Pointer
Having had both houses and mobile homes in the past, it was my experience that a mobile home is nothing more than a money pit. If you have ever owned one to live in, you know that they are a constant maintenance issue...just think about the care a non-owner will take of one...as was said earlier......RUN, don't walk. Spend your money on a house first.
 

RBR

Four Pointer
I use a monthly payment option that seems to work well with most. Pay by due date and receive discount. If I’m expecting 800.00 monthly I’ll ask 1000.00 and give a 200.00 discount if paid on time. This works pretty good for most, the ones that are trouble to begin with don’t seem to care.
 

Homebrewale

Old Mossy Horns
Are you asking how you know a good tenant when you see one?


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No. catfishrus upthread said 2 out of 3 most wealthy people you know own rental property. I was wondering how you know which person is wealthy or not. Looking at my neighbors and friends, I can't say with certainty which one is wealthy or not.
 

KTMan

Twelve Pointer
Houses yes. Mobile homes no. Clients are different for each. Being a landlord can be a headache. But if it where easy everyone would be in the game. By goal was for my rental income to be greater than my career income. I’ve been there a few years. All are paid for and will be a nice retirement income down the road.

But back to your question. I never chose mobile homes because most of the time they will depreciate. Homes for most part will appreciate. Hopefully tenants will pay for your house and be free money for you in future. Plus a lot of tax benefits.

If I were looking for low cost housing I’d look into slum housing. Buy cheap, rent cheap and they don’t complain a lot. No leaks, plumbing works, heat works and tenant is happy. Great return on money.
 

catfishrus

Twelve Pointer
No. catfishrus upthread said 2 out of 3 most wealthy people you know own rental property. I was wondering how you know which person is wealthy or not. Looking at my neighbors and friends, I can't say with certainty which one is wealthy or not.
I just know the ones (that I know)who have rental property have done well. I'm parcel to rental property because I enjoy it.
 

pattersonj11

Old Mossy Horns
I currently rent from a family member. I have helped them multiple times with previous tenants. The eviction process is normally no shorter than 90 days. They miss the first rent and you begin the process. All in all you will lose at least 3 months of rent money. Usually 1-2 more due to having to clean up and repair behind them. If you have good tenants, it is nice. Most responsible folks don’t have to go around looking at rentals. As stated, I rent now. It was the best for me considering the price of houses/land and having student loans to knock out. With those gone, we will probably be buying in the future. Land prices around here are ridiculous right now.
 

pattersonj11

Old Mossy Horns
In years past, some years have done fine. Other years you have to evict and clean/patch/paint. You end up losing that year. Now it is time for a roof on this house. Always have to watch out for the heating/air systems. You will always be better off providing filters and changing them yourself if the tenants will allow you to. Keep in mind that the menial stuff you do at home like cleaning out gutters and simple items like that....tenants will rarely do anything like that.
 

pattersonj11

Old Mossy Horns
If you go into renting multiple houses....you might as well keep a water heater ready to go at your own house. That seems to be a common middle of the night phone call.
 

double

Twelve Pointer
When we ran our mobile home dealership we had several rentals. Over time we sold them all on owner financed contracts. The income was nice we rarely had renter problems. Always stick with 3 bedroom singlewides to rent. Remember rent is charged by the bedroom not the square footage. Have a good rental agreement and be firm.


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Soilman

Old Mossy Horns
Contributor
I'm on the other end of this topic. We are about to be moved to the Fayetteville area for my job. We haven't been able to find a home to buy that suits us, so it looks like we will be going the route of renting for a while. Problem is, we look up stuff on Zillow, and by the time we call, the place is already rented. My wife swears that she was looking at one place on the internet and it changed status to rented while she was looking at it!
Our other dilemma is, we have to buy a new home within a year of selling our old home or lose the extra benefits that the relocation service provides, which are significant. Most rentals are contracted for a year. What is the penalty for breaking a year lease? We certainly can't afford to break a lease, and have to pay out the rest of the year AND make monthly payments on a new home if we find one six month into it.
 

Moses

Four Pointer
I'm on the other end of this topic. We are about to be moved to the Fayetteville area for my job. We haven't been able to find a home to buy that suits us, so it looks like we will be going the route of renting for a while. Problem is, we look up stuff on Zillow, and by the time we call, the place is already rented. My wife swears that she was looking at one place on the internet and it changed status to rented while she was looking at it!
Our other dilemma is, we have to buy a new home within a year of selling our old home or lose the extra benefits that the relocation service provides, which are significant. Most rentals are contracted for a year. What is the penalty for breaking a year lease? We certainly can't afford to break a lease, and have to pay out the rest of the year AND make monthly payments on a new home if we find one six month into it.
It may vary from landlord to landlord. A common way landlords do it is you lose your security deposit and have to pay the rent until they find another tenant. Which with this clause, they may not be motivated to find another tenant if they know you have months left on your lease. I think that would be a case by case basis depending on the property owner.


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