I asked this before but only got one answer.
A mobile home place on the way to work has this sign up.
How could they be selling trailers to people with that low of score.
Could the trick merely be just a super high interest rate?
Is it that simple?
Last year they had a sign 100% financing on your land.
I don’t understand what the gimmick is?
This is not a personal question – just curious.
Very high interest rates for starters. You don’t get normal mortgage rates on mobile homes. In many states manufactured housing are treated like cars — your have titles, not deeds and actually have to "register" (although it’s called various things) each year.
My guess on the 600 score sign is that the dealer may do some in-house financing — like the buy here/pay here car lots. It might be used mobile homes or last year’s model that he already owns. And of course, there are probably lots of other requirements.
As for the 100% financing on your land, that’s easy. They tie the land to the mobile home loan. Better than a downpayment.
Yeah, for the most part, it probably is a gimmick to get folks with poor credit to stop in. You got to get folks to stop before you can sell them anything.
I had an admin asst who decided to buy a mobile home. Lucky for her, everyone in the office asked all the questions she didn’t bother to ask. The dealer literally told her you can have this model for $xxx per month — no mention of the total price, interest rate, or number of payments. It’s amazing the number of people who would actually sign paperwork without asking anything more than the monthly cost.