spex thread in motion: Doing a "Lonnie Deal" - Page 10

bwana devil · 04-28-2009, 09:51 AM

Quote:

Originally Posted by billzfan86

Hey bwana I was looking some more things and I had a few more questions regarding selling the notes because DOW throws the idea out there but doesn't give specifics on how to amke it work.

How have you been marketing the first note have and the 2nd one that you will have shortly? What avenues have you considered marketing your note sale? Will you sell the notes individually or try to package them? Have you approached any 2+2ers about buying the notes? Would they need to live in Texas to be able to buy from you?

Seems like there is a pretty nice opportunity for both you and the note buyer in that kind of set up to make some money as someone who is not getting much from my market investments im considering buying the note but i dont know if living in New Hampshire means im too far away from you to do this.

I haven't done much marketing of the note because I've been so busy working on creating deals. Marketing the notes is probably my next phase. I've been in contact with a guy who buys nationally so I'll see if anything interesting develops with that.

I'd be open to, in fact I'd probably prefer, to sell to a 2+2er because I'm somewhat known on the boards and know several posters personally. And no, the note buyer does not have to live in Texas. If you decide notes are for you, shoot me a PM. I can give some great terms - especially on these early ones.

cres · 04-28-2009, 03:58 PM

Quote:

Originally Posted by crashjr

You just committed a crime. I wouldn't go bragging about it on a public board.

On a legal question, If he had structured the sale as 4 pmts with the same sales price, would he still have created a questionable transaction?

polkaface · 04-28-2009, 04:19 PM

Quote:

Originally Posted by cres

On a legal question, If he had structured the sale as 4 pmts with the same sales price, would he still have created a questionable transaction?

I have a feeling the crime others are speaking about has nothing to do with the payments.

He sold the TV for $850. The total amount of payments is $850 so he's not making any interest on the deal. No usury laws were broken. He bought it for $550 and sold it for $850 (no crime in that), just hope the remaining checks actually clear or else he bought a TV for $550 and sold it for $200.

heater · 04-28-2009, 04:29 PM

Quote:

Originally Posted by polkaface

I have a feeling the crime others are speaking about has nothing to do with the payments.

He sold the TV for $850. The total amount of payments is $850 so he's not making any interest on the deal. No usury laws were broken. He bought it for $550 and sold it for $850 (no crime in that), just hope the remaining checks actually clear or else he bought a TV for $550 and sold it for $200.

Yeah, obv not usury. For some reason I was thinking of the 850 being after interest on the 550. It was too early in the morning, I guess. I don't have any idea what law he may have broken.

cres · 04-28-2009, 04:51 PM

That's what I thought, there never was any mention of interest, or a loan. More of an installment payment plan.

mr adam d · 04-28-2009, 06:23 PM

Quote:

Originally Posted by cres

That's what I thought, there never was any mention of interest, or a loan. More of an installment payment plan.

this is correct it was an installment payment plan. I did not charge interest.
I'm also wondering what law I broke.
if I do not see any legal issues I'm thinking about starting a website doing tv lonnie deals due to the tremendous interest in my ads.
I'd also use a credit card payment system, which will decrease the yield tremendously, but worth it.

mr adam d · 04-28-2009, 06:29 PM

Also, did my sisters mother-in-law break this same law when she sold me her car allowing me to make payments? Only difference in the two situations is I made a profit in my deal.

crashjr · 04-28-2009, 06:46 PM

Quote:

Originally Posted by cres

That's what I thought, there never was any mention of interest, or a loan. More of an installment payment plan.

It is a loan, there is a note. Even without interest, it is still a consumer installment sales contract. There are requirements that were not followed. Consumer lending is rife with pitfalls for the unwary.

I think that consumer protection laws are grossly unfair because they are quite easy to legally circumvent, such as with a finance lending license. The people that get trapped are the people like adam, who is (apparently) young and just trying to make a fair buck.

Sotiria · 04-28-2009, 06:47 PM

One vote for a separate thread for the "TV deals" posts.

Sotiria · 04-28-2009, 06:55 PM

It seems like park managers are a key to these deals as they are the 'gatekeeper' of sorts. I found this great post on CREOnline, which is a site recommended in the big spex x thread: http://www.creonline.com/mobilehomes...ges/12019.html

Big TR · 04-28-2009, 08:08 PM

Quote:

Originally Posted by Sotiria

One vote for a separate thread for the "TV deals" posts.

I asked the mods to get this TV drivel out of this thread.

mr adam d · 04-28-2009, 08:12 PM

Sorry guys, sorry bwana.
I thought it was related to a Lonnie Deal in theory, and didn't wanna be a thread-starting whore. No more tv talk from me in here.

bwana devil · 04-28-2009, 08:54 PM

Quote:

Originally Posted by billzfan86

Sorry I thought of one more thing I wanted to discuss ask about:

Who should I talk to about deal regulations and if i should or shouldnt get a dealer's license? Also when it comes to tax stuff I have a great poker tax guy but i dont know how much he knows about the taxes on these specific deals. I have a potential deal im very interested in right now and wanted to know what i should do about tax stuff or should i just ask him like this week?

As far as state regulations, some states are very lenient. My state, Texas, is very strict. One is allowed to sell one mobile home per year as an individual. The first house was sold under my name. The second house will be sold under my wife's name. Next month I take the licensing class so I can do as many deals as I want. However by being licensed, I have to provide a warranty on some of the items in the home and ensure the house is "habitable" as defined by the state.

The tax stuff is beyond the scope of my knowledge. I'd say hire someone who is knowledgeable, competent and who you trust but that is obvious in any decision you make in life.

bwana devil · 04-28-2009, 09:02 PM

Update. It rained yesterday in Austin so that put house plans on hold a day. I went over to the house today to meet the carpenters and to show the house to someone who called from my CL ad.

A sidebar here that I received very few emails from having my CL ad up. I'm pretty sure the reason is because this is a different community than my last home. My last home is very close to Dell headquarters and many of the people in the area use computers and CL. I hadnt even posted sale sign in the yard so I am confident that is better form of marketing than CL in the community the new house is in.

Anyway, the guys were at work on the first day. I also showed it to the only couple who emailed me. They walked through the house, talked for two minutes and told me they'd take it at full asking price. They put a partial deposit down and the rest of the down payment is due on Monday. They have to apply w/ the park and with me and if they don't pass, their deposit is refundable. If they pass and they change their mind, I keep the money.

I'm not quite comfortable saying the house is sold yet because I learned on my last deal that so many things can happen to spoil a deal. It's never this easy. I will simply call it what it is and that is a couple put down deposit for purchase.

mr adam d · 04-28-2009, 09:54 PM

bwana,

I'm sure you've seen this ad in Austin, a 6 unit park with owner financing. http://austin.craigslist.org/reo/1099351179.html

What are your thoughts?