I’m so glad to have found this site! I’ve been looking into MH investing for awhile, I finally think I have the gumption to do it. But before I do, I have questions about the finer points of the deals. I’ve been over this site with a fine tooth comb (I hope!), and I don’t think I’ve seen any topics about these q’s I have. Any and all information would be amazingly helpful to overcome the ‘nerves hurdle’.
I bought the second Lonnie book, Making Money with Mobile Homes. Should I have read the first one also? Is that one more of a step by step book?
In the book, he says to charge $20 for a credit check when people apply. How would I go about getting a credit check on someone?
How/where would I go in my town to do a title search?
How legally protected should I be if I’m taking back notes on the mobile homes I sell? (My father in law is worried about this one!) As in, should I have a legal business entity, etc.
How far is (generally) too far to hold a note? I want to get started soon, but we may be moving out of state in a year.
Again, thank you guys for having a great forum… this is honestly the most informative MH website I’ve found!
#1. Read Lonnie’ first book DOW. It is rather tough to start learning Spanish from the intermediate course if you haven’t taken the beginner’s course. Yes, it is cookbook style.
#2 Many on-line services. Must get info and release from new buyer first.
#3 Most titles are at the motor vehicle dept. Check on how to transfer.
#4 Who ever sues a mortgage holder or a note holder? For What?
#5 How far? As far as you are comfortable traveling when the buyer quits paying you.
This one will depend on your risk tolerance. I agree with Dr.B, no one ever sues the note holder, but my attorney did tell me that if someone were to get hurt badly in a home, and looking to sue, and he were the attorney, he would go after the lienholder. He did say that he agrees that he would probably lose, but an attorney wants to go after money, and he knows the home owner doesn’t have any, and he’s sure you have more than the home owner, so he would give it a shot.
Even though you would probably win, there is always that chance. And at least in Ohio, you can set up an LLC for about 125 bucks by filling out a two page form on the secretary of states website, so why not?
Is it worth 125 bucks and ten minutes to make yourself look like a genius to your father in law?