026 Buying Mobile Homes without Proper Due Diligence with John and Ryan

In today’s Mobile Home Investing Podcast episode #26, I’m very happy to welcome active mobile home investor Ryan to the co-hosting microphone. In today’s 54-minute podcast episode we dive into example after example when it comes to rushing into mobile home investing opportunities and deals too quickly. Learn from our mistakes rushing into working with shady mobile home sellers, handymen, high-risk tenant-buyers, purchase offers, closings, and unseen repairs.I am super proud of everything Ryan has accomplished in such a short period of time. Ryan has already been able to help multiple mobile home buyers, park owners, and mobile home sellers. This is only the beginning. Special thank you to Ryan for opening up his business for this podcast to help other investors he’ll likely never meet.Rushing into mobile home deals, purchase offers, and closings.At first thought this may be what most investors think of when rushing into deals. In reality it may not be until days or weeks after you purchase an investment property that you realize the mistakes, oversights, or errors that were made. Perhaps there is an unseen ownership/titling issue, overpaid purchase price or terms, unseen repairs/damages, park location or management issue, state issue, etc. Rushing into a real estate deal and closing too quickly may develop from an investor…* Investing mainly with emotions instead of logic.* Not truly understanding your local numbers and/or local supply and demand.* Having an exit strategy not based in reality.* Having uncertainty with regards to your purchase and sales process/paperwork.* Not completing a checklist or due diligence process that ensures you know what you are buying, making proper repairs, understanding the park criteria or land, location, and your very realistic exit strategy.Pro Tip: It may be helpful to seek out the experience and help from other more experienced investors. Look for local or nationwide experienced investors to ask questions and get real-time advice from. Remember trial and error may be an expensive teacher.In the mobile home investing podcast episode below John and Ryan cover: * 1:05 Ryan’s quick mobile home investing bio.* 1:50 Which mobile homes did Ryan buy too quickly and why?* 3:20 Different due diligence checklists depending on which type of mobile homes and/or if land is included.* 4:23 Analysis of paralysis.* 5:39 Purchasing a mobile home on private land creatively with a hidden lien.* 8:30 The penalty for being cheap.* 11:29 Investing with too many emotions.* 12:40 Buying a $4,000 3/2 mobile home inside a park and overpaying. (Deal #1)* 15:30 Making repairs and becoming stressed.* 16:33 Selling to high-risk buyers in a hurry.* 18:30 Reselling to a low-risk buyer for long-term cash flow.* 20:28 What would Ryan say to the past version of himself to slow down?* 24:12 What reasons did the first buyers fail?* 26:30 Who’s responsible for defaulted tenants or tenant-buyers?* 27:40 100% default rates for first 4 years.* 28:10 What traits help make a low-risk qualified tenant-buyer?* 31:39 Taking time to screen tenants and tenant-buyers.* 35:07 Rushing into paying sellers for their mobile homes. (Deal #3 and #5)* 39:00 What steps Ryan will do differently moving forward?* 42:51 A crash course in human nature.* 44:05 The best ways to learn and avoid mistakes moving forward?* 46:33 When sellers mislead and lie, we investors typically lose money.