Want to get started in real estate investing but don’t have any experience? No problem!
When we started, we didn’t have any experience either.
And that’s why, after doing over 300 deals and counting, we think you should start with mobile homes rather than stick-built or single-family homes.
Here are 5 reasons why mobile home investing is better than “traditional” fix-and-flip real estate.
1. Reason #1: Cheap Cash Flow
We love cash flow aka passive income.
It’s one of the reasons why we got into real estate investing.
For example, one of deals was a manufactured home we bought for a little under $2,500.
And it needed about $500 worth of repairs.
So we were all-in for $3,000.
We were able to fix up the home and find a buyer in under 30 days.
And we sold the home for $15,000.
The buyer paid a $3,000 deposit.
So, we already broke even.
And then the remaining $12,000–our profit–they paid over 36 months.
This is called Seller Financing where we act like a bank.
You can get cash flow with traditional real estate too.
But you’re not to find a home for under $3,000.
And you’re not to get all your money back on the deposit.
Reason #2: Speed
We went from buying the home to selling it and getting our money back in less than 30 days.
We don’t know how you can do a deal that fast with a traditional fix-and-flip.
Reason #3: Supply & Demand
We’ve never had any supply and demand problems since we started investing in mobile homes.
There’s an affordable housing crisis in the USA.
A lot of people want homes but can’t afford them (stick-built homes.)
And as a mobile home investor, you’re perfectly placed to help a lot of people find affordable homes for their families.
Whenever we have a mobile home for sale, especially double-wides, families jump on it.
Reason #4: Funding
If you don’t have the funding to close a deal, you don’t have a deal at all.
And if you’re a newbie investor, you might have funding for your first deal, but what about deals two, three, and four?
With mobile homes, we’re not purchasing properties for more than $5,000.
All-in, with repairs and holding costs, we typically don’t invest more than $10,000.
This is huge because we’re able to double, triple, sometimes quadruple our investment, fast and in cash.
And then flip that to invest in more deals.
Plus, it’s a lot easier to come up with $10,000 than it is to come up with the numbers you’ll need in traditional real estate investing.
Reason #5: Construction Experience
When we first started out this was one of our biggest fears.
We barely knew how to change light bulbs or use a hammer, so we were worried about how we were going to repair homes, and pass appraisals and inspections.
But with mobile homes, you don’t need to worry about any of that stuff.
You can usually find a handyman on Craigslist or Facebook to fix whatever you need fixed at an affordable price.
And as you get more experienced, you’ll know how much things cost to fix, so you don’t have to worry about getting scammed.
With traditional real estate, you’ll have to hire a general contractor and get the home inspected and appraised when the repairs are done.
It’s a longer process.
With mobile homes, you can sell the home the same day the repairs are done.
Want To Become a Successful Mobile Home Investor?
If this video and post have you interested in becoming a successful mobile home investor, you might want to check out our free case study.
It’s about a student of ours who made a $10,000 profit in 48 hours selling a used mobile home.
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