Legacy Homes Retail Finance

Legacy Housing has a retail finance program for their homes. The payment price point is too high for my market, but it sure is interesting to see some creative finance offerings by a manufacturer.

By the way, what is the PV of these $249 pmts from 94-180?

Home invoices for $28,333

Sales Price is $45,000

D/P is $6750

Monthly pmt. Is $522 Number of payments-180 months

Interest rate 13.9% + 2 points

$25 monthly fee for payment processing

Dealer Gets paid upfront $11,083. this is the total of Down payment $6750 + Legacy funding check $4300

Set-up expenses $4300 ($1600 set, skirt.) ($1500 A/C) ($1200 freight)

Plus 50% of profit of $6783

Total upfront cash $11,083

Dealer Investment in Portfolio $6783 (50% of profit)

Monthly income from this loan is $249 payments to dealer begin at month 94 and continue for 86 months