Buy an exterior shape that will look good for years.
Demand for mobile homes is almost always strong. Affordability is only part of the reason, say experts at the California Mobile Home Park Manager's Association. Mobile homes are fast solutions to living in the mountains or near a favorite lake. To build equity, take advantage of repossessed or foreclosed mobile homes or buy one at an auction or estate sale. Mobile homes depreciate because new models make old ones look dated so select a design that will stay in style.
Instructions
1. Follow the pricing of mobile homes with an appraiser at your bank. Search classified ads, estate sales and mobile home dealers routinely to hunt for bargains. Purchase property to park a mobile home you purchase or park a single mobile home in a mobile home park for a few months.
2. Look for mobile homes underpriced by at least $5,000. Ask the seller to transport, if possible, to save costs. Fix up the home as needed. Consider placing an underpriced home on a land tract, where appreciation of the land can boost the home's value. Search realty books to estimate the value of mobile homes on land tracts in your area.
3. Enlist professional appraisers and ask them to estimate profit on a sale in one to two years. Be aware that prices vary in different localities, so do your homework. A pre-owned, single-wide mobile home on a permanent lot in east Tennessee, for example, can sell for $50,000 to 60,000, according to the East Tennessee Realtors Association. Double-wide homes can sell for more in this area.
4. Scout for mobile homes that are underpriced and need few repairs; these will create equity from the moment the deal is closed. Be aware that if you pay too much, needed repairs will cut into future profit.
5. Fix up the space and lot with an eye toward who might buy the property. Build equity by making a sizable down payment or paying extra principal toward the mortgage.
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