Those park owners who are having difficulty finding cash, would you be willing to sell notes at a discount to bring in cash. Or maybe bundle a few together?

Just an idea as I talk to investors of mine. I have seen a few parks in the area get into trouble. When I asked what the problem was (besides poor management) I keep hearing the same thing.

Lines of credit that the parks had been using had been frozen.

So like I said, would bundling a few notes together to offer to investors for cash make sense to get cash on hand for whatever is needed, or is this the wrong way to think? Any ideas?

I know many folks in the same boat, it seems that the banks don’t want to deal with investors at all right now… at least for the time being easy money is gone for the most part.

The problem I see with what you are trying to do is taking folks that are use to paying 6-8% and telling them that it’s going to be 15% + and they freak out! Private money works well if you are controlling the way everything flows but I would be hesitant to stick my neck out for other park owners who may not follow through with the agreed up on terms over the long term just because money is harder to get right now.

I covet my private lenders and try my best not to hook them up with something that is going to back fire on them. I think a lot of folks that are being forced to use private money and don’t understand the value will have hard feelings later on when lending starts up again… That SOB took advantage of me…

I am still pretty green in the hypothecation game, but I have had a couple of thoughts that just keep rolling around mind about it: 1.) I really should have always been telling others more about what I do for a living than

It’s funny what you said about telling people you are “in the mobile home business.” When I first started Capstone, I told everyone that would lend me an ear all about what I was doing. (I still do by the way) I think it embarassed my wife!

But as time went on and the business grew, I overheard her telling some friends that “he works with trailers!”

I had to then explain to her that I only work with “trailers” when I’m buying, when I’m selling or when you talk to your friends (who could be potential investors later) tell them I work with “Manufactured homes!”