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By: Ikedi Ani-okoye.

Repossessed mobile homes

One way to increase your occupancy and cash flow is to buy repossessed homes so that you can fill up your park. Many mobile homes have been repossessed over the last three to four years due to the lenient mortgage practices of the late 1990s. Many of these homes are being sold now at 30 to 40 cents on a dollar of the actual loan balance.

Many states in the U.S. have a plentiful supply of mobile homes, such as the Midwest and Southwest. In the Southeast and Florida, repos are still available but harder to find due to the hurricanes. Still, nationally there is currently a plentiful supply of repossessed mobile homes.

Mobile home investment

Another profitable option is to buy a manufactured home and rent it out. You won't be able to charge as much to rent your mobile home as you would a regular house of the same size, but it won't be that much less.

For example, a $50K mobile home may rent for $600 a month while a $200K regular home rents at about $750 - you'll be making a comparable return on investment for much less money up front, and smaller monthly mortgage payments. An obvious third investment scenario might be to buy a mobile home, live in it until the mortgage is paid off, and then sell it - in this scenario you'll spend much less money on repairs and upgrades before the sale than you would with a regular home.

Mobile homes defined

Mobile homes or manufactured homes refer to residential structures that have the ability to be moved from one place to another. Initially called trailer homes, mobile homes have now come a long way. Modern mobile homes are much more intricate and beautiful in their designs. Some newer mobile homes appear no different than traditional brick, cement and mortar homes to the amateur eye.

CONCLUSION

The days of derision towards mobile homes and their owners are coming to an end. There are about 10 million Americans today who are living in mobile homes, individually and in parks. There are ‘snowbirds,’ who have permanent residences in northern areas and move to warm southern climes in winter; or they may be people who are busy accruing money for a more stable home in future. People of almost all groups are now accepting mobile homes.