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How Cash Offers Are Calculated

Updated: Jan 4

Things to Consider When We Purchase Mobile Homes


There are several things we consider when we buy a manufactured home. Some questions may surprise you, and others won't, such as:

- What's your timeline for selling your mobile home? - Why do you want to sell a manufactured home? - What's the condition of your manufactured home? - What amount did you have in mind?

Many of these questions are crucial because you may want a cash buyer when another solution is better for you. We don't believe one size fits all, and cash offers are not always the best option. Therefore, we need to know as much as possible to find the best solution.


Calculating Your Offer

Calculating your offer is complicated. We consider your cash flow and other variables, such as the amount of your lot rent. The basic calculation is the following:

[ARV] - [Repairs] - [Transactional Cost] - [Minimum Profit] = $$ Your Offer $$



But what does all that mean?

"ARV" after repair value: This is what we believe the home will sell for once it has been repaired. You would typically search for comparable homes in your area on sites such as Realtor, Zillow, or MHVillage. However, mobile homes are more difficult to find information.


"Repairs”: This is self-explanatory. We estimate the cost of fixing and making the home ready for move-in. We prefer to do small jobs rather than complete renovations to keep costs low and make these homes more affordable. If heavy repairs are needed, that is reflected in the offer.

Before and after of mobile home bathroom
We HGTV Your House If Necessary

Transactional Costs: Once we are ready to sell the home and have completed the renovation, we need to consider any closing costs or commissions. Mobile homes closing costs usually cost between 10-15%.


Minimum Profit: We purchase and sell mobile homes as a service to our families and as a business. The minimum profit range will vary for each deal. However, if we pay more to purchase a home, our profit will likely be more significant to offset the risk.




Summing It All

To calculate our offer, we first determine the potential resell price (ARV), then subtract our costs from transaction costs and lot rent.

Some Extra Details

  • We will buy your manufactured home cash, and there are no additional fees.

  • We buy your home in any condition. Manufactured homes that are moving are also considered but not guaranteed.

  • If the park has specific requirements before selling, we can help.

  • There are many options. If a cash offer doesn't suit you, there are other ways to make money for houses.

Still, have more questions? Leave a comment or reach out to us.

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