Friday, February 26, 2010

Video - Mobile Home Commercial

Since it's Friday, I thought I'd keep it light and post up this entertaining video spoof titled "Painfully Honest and Epic Mobile Home Commercial."

Check it out!

Video Link

Thursday, February 25, 2010

Q&A: Mailbag

(Note: I've received many questions from people about mobile home and/or real estate investing. From time to time, I will post the ones I find interesting/relevant. If you have a question, feel free to send it in. Thanks!)

Q: Do you know of any lenders who lend on used mobile homes? If so, do you know their criteria and/or qualifications?

A: In this economy, it's really hard to find lenders who lend on used mobile homes. There are some that used to lend but are not in the business of lending anymore with used mobile homes.

Most of the lenders who are in the mobile home business today usually lend on new homes. These are the ones who tend to work with the big mobile home dealers - their credit score requirements are quite high, require higher down payments and in most cases interest rates in the double digits from what I've seen and heard.

If you're looking for a lender for used mobile homes, other options are private money and/or hard money depending on what your needs are. Otherwise, having cash in this economy is the best way to go unless you try to buy with seller financing.

Happy investing!

Tuesday, February 23, 2010

Terminology Tuesday - What Is a "Lonnie Deal"?

(Note: I think it's important to know the terminology and words used when learning any new business including mobile home investing. I came up with 'Terminology Tuesday' as a way to go over the terminology used in the mobile home business. It's important to know the terminology when talking to people in the business so you're all on the same page).

"A 'Lonnie Deal' is basically one that I can buy for $2,000-$3,000 and then sell it for $5,000-$6,000."

- Lonnie Scruggs

Check out this audio where Lonnie Scruggs outlines what a "Lonnie Deal" is: (at 7:31)

In a nutshell, the concept of "Lonnie Deals" can work with anything - not just mobile homes. And, the key is offering the product with easy terms and offering owner financing.

If you're interested in learning more about mobile home investing, I highly recommend reading Lonnie's book.

Happy investing!

Friday, February 19, 2010

Video - Getting Started With Mobile Home Investing

Since I receive a lot of questions about how to get started investing in mobile homes, I thought I'd post up this video about how to get started and raise money for mobile home investing. Very simple and practical advice which follows the "Pay Yourself First" principal outlined in this book. Enjoy!

Video Link

Thursday, February 18, 2010

Q&A: Mailbag

(Note: I've received many questions from people about mobile home and/or real estate investing. From time to time, I will post the ones I find interesting/relevant. If you have a question, feel free to send it in. Thanks!)

Q: I am really interested in learning about mobile home investing. But, I hear a lot of people saying "Lonnie deals" just do not work because you end up putting too much money into these cheap homes and end up taking back the home over and over again. Do "Lonnie deals" really work?

A: In my opinion, "Lonnie deals" work but not for everyone. Anyone who has been in real estate for awhile has heard the following saying, "You just can't make money in real estate." The people who have said this are people who have not had real estate work for them. On the other hand, there are others who have really been successful in real estate. So, you see there are two sides of the coin.

Honestly, it all boils down to personality and your style. In my own personal experience, being a landlord and dealing with renters just did not work for me. On the other hand, "Lonnie deals" and dealing with homeowners has worked for me. When I go out and look at mobile homes, I ask myself two questions:

1) Would I live in this home?
2) Would I live in this neighborhood?

If the answer to both of these questions is "yes," then I pursue it. On the other hand, if the answer to these questions is "no" then I do not pursue it. When I go into a deal, I look at it first as a homeowner (who I deal with) and then as an investor - not the other way around.

Believe me, I've learned this lesson through experience. I got into a bad deal once where I looked at the home solely as an investor - bad idea. Why? In any business, I believe you have to have a product and/or service that you believe in and that you can stand behind. I don't buy cheap homes in bad neighborhoods - it's just not my style. The only reason I'd possibly look into buying a home in that kind of neighborhood is if I would move it. Otherwise, I just won't go into the deal.

So, you see - "Lonnie deals" work but not for everyone. Here is an article titled "Why Lonnie Deals Don't Work For Me" just to get another perspective. Now, this article sparked much controversy and debate among mobile home investors. Some even got really upset. However, notice the title. It does not say "Why Lonnie Deals Don't Work," it says "Why Lonnie Deals Don't Work For Me." Big difference. In the end, it will be your experience and your experience alone that will determine whether something will work for you.

Happy investing!

p.s. If you would like to learn why "Lonnie deals" work for me, check out this article. Thanks for reading!

Monday, February 15, 2010

Back from Hiatus

Hi Everyone!

I'm back from hiatus (yes, finally!).

The few weeks I took from the blog turned into a few months. I really had to take some quality time off from the blog and writing. It allowed me a chance to think and reflect upon life and where I wanted to go and where I wanted to be in the future.

And, just taking some time to reflect made me really value the concept of time over money. This is exactly what Lonnie promotes with the mobile home business - it allows you to take the time you need to pursue the things you want to pursue.

All the money in the world cannot substitute the valuable asset of time - it's something you really can't get back nor something you cannot buy.

Right now with the economy down, there are many opportunities out there. And, not just in the real estate business. Though with opportunities, there lies greed. And, it is this greed that can really corrupt and take people over. I've seen firsthand what greed can do - it really can overrun lives.

Greed is one of the most powerful emotions. Fear is the other. There are many people out there presenting opportunities based on both emotions especially greed. Hearing the words, "You can make money fast this way," "We can teach you to become rich fast with this opportunity," or "You can't let this opportunity pass you by," really feeds on these two emotions.

What I've learned from Lonnie and his books (By the way, I just saw Lonnie a few months ago - he's doing great!), is that you really have to take control of your own destiny and put work into whatever you decide you want to do. And this work is hard work. There is no fast way to financial freedom. Period.

In order to be successful, it takes time and having the persistence to keep going. It took me 8 months to find my first mobile home deal. Can you believe that? Most people would just give up. But, it's having the passion and believing in what you do that keeps you going. And, nothing can substitute passion.

On that note, I want to thank everyone for their continued support with the blog. Taking a break from the blog and writing, really gave me a chance to reflect and think about my future. For those who have sent me messages, I will be getting back to them shortly.

As a special treat, I've put together a video preview on what's to come. Enjoy!

Happy investing!

Video Link