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Mobile Home Rentals Wheeling WV

Local resource for mobile home investment in Wheeling, WV. Includes detailed information on local businesses that provide access to real estate investing, mobile home financing, mobile home investors, and investment advisers as well as advice and content on evaluating mobile home parks.

Stewart's RV
(740) 695-0918
50863 National Road E.
St. Clairsville, OH
 
Yonaks RV
(614) 686-2999
46293 Belmont-Cent.Rd.
Belmont, OH
 
Pine Grove Manufactured Homes, Inc.
(570) 345-2011
Washington, WV
Specialty
Manufactured Homes

Outdoor Express RV
(800) 700-4787
128 Recreation Lane
Falling Waters, WV
 
Wolfe Camper Sales
(800) 766-3392
974 Lake Washington Rd.
Washington, WV
 
Stewarts RV Center
(800) 627-7848
50863 National Road East
St. Clairsville, OH
 
PKB RVs
(888) 551-9106
100 Sharon St
Mineral Wells, WV
 
Innovative Modulars, LLC
(888) 611-2038
Washington, WV
Specialty
Manufactured Homes, Site-Built Homes

Setzers RV
(304) 736-5287
5319 Cherry Lawn Road
Huntington, WV
 
Burdette Camping Center
(304) 586-3084
3749 Winfield Rd.
Winfield, WV
 

Mobile Home Rentals - A Great Investment



Mobile Home Rentals - A Great Investment
Mon 10/08/07 08:04:04 pm
by Steven Gillman

Why mobile home rentals? Get past the prejudice and look at the numbers. In our town, for example, a two bedroom house costs $130,000 and rents for $800/month. A $50,000 mobile home on real estate gets $500/month. Cash-on-cash return on investment is obviously higher with mobile homes.

Don't let the half-truth that mobiles depreciate in value keep you from investing in them. They lose value in a park, on a rented lot, but not on real estate. My first home was a mobile, bought for $19,000 and sold for $45,000 fourteen years later.

House rentals here usually have negative cash flow, while mobile home rentals have some cash flow. Still, investors prefer houses, believing they'll build equity faster, but is that true? Only during times of fast appreciation.

Equity Building With Mobile Home Rentals

Buy a house for $120,00 with $20,000 down, and take out a $100,000, 6%, 30-year mortgage. You'll have a payment of $599.60. Of the first payment, $500 will go to interest, and $99.60 to principal. You only built equity of $99.60. This ignores appreciation, but only for the moment.

Second scenario: Find a mobile home for sale on land, and borrow $30,000, at 8%, amortised over 10 years. Higher interest and a shorter term is normal with mobiles, but being done with payments in 10 years instead of 30 sn't all bad. The payment will be $363.99. The first month, $200 will go to interest, and $163.99 to principal. You built more equity in this scenario.

Mobile home rentals on land might appreciate more slowly than the "regular" house, but faster loan pay-down usually covers this factor. Pay less per month, have positive instead of negative cash flow, and build more equity! Don't expect your real estate agent to tell you this.

Mobile Homes - Cash Flow

In the example, you'd lose about $150/month on the house, after the payment, taxes, insurance, repairs and other expenses. You'd have cash flow with the mobile home, and after ten years (when the loan is paid off), you'd have a lot of cash flow.

Mobiles are cheap to maintain. The furnace died in rental I owned, and I replaced it for $1,200, much less than a furnace for a larger home. For $200 you can have the roof tarred, instead of $5,000 to re-shingle a traditional roof. Windows, plumbing, doors - they're all cheaper. Property taxes and insurance are less too (be sure you can get insurance, since some old mobiles may be uninsurable).

The Bottom Line

$20,000 can buy two mobiles, with $10,000 down on each, or four with $5,000 down on each, instead of one negative-cash-flow house. The two investors in our town that own most of the mobile homes always have cash flow, and have built millions in equity. Others, following their prejudices, struggle to make money with their "nice" rental homes. So when you're looking for a good investment, don't forget those mo...

Click here to read the rest of the article from mobilehome.com


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