Thinking of selling my house. Would you sell if you were in my position?

Question

my bf and i brought a Mobile home a year ago and its nice and all but were in a location we really don't like. plus his work has been sooo slow so were are having trouble making the payments and I don't want to ruin our credit for this trailer that prob wont last us forever. We have a few ideas one sell and buy a house since we prob can get one for the same price and just tough it out at least we would have a house. Two sell the house and rent for awhile get the credit back up and build duplexes live in one a rent the other.. this plan a lil harder cause we have to find land an build.. so it would take a while..then we would have to rent something that is just as expensive as the mobile home?? we are confused.. so what do ya think?

Answer 1

A mobile home is not like real estate. It depreciates over time instead of appreciating. Also, if you're having trouble paying on time and it's affecting your credit, you probably wouldn't be able to afford a house or property for a duplex for a while, anyway.

Sell it, rent for a while, and fix your credit. The market may go up a bit in the next couple of years. But, it will still be a good time to buy. And, with improved credit and perhaps steady work coming in by then, you'll be able to afford a better place.

Answer 2

Selling a mobile home is difficult.  

Since they depreciate in value, you may well owe more than the home is worth currently. If that’s the case, the only way you can sell would be to pay the difference between the sales price & your loan amount in cash – something tells me that might not be an option.

Second problem with the depreciation issue is that it can be difficult for a buyer to find financing for a home that will lose value. Obviously you did it so it is possible, but it’s not easy and plenty of lenders will refuse to give a mortgage on a mobile home. This makes it hard for anyone to even buy your house.

It sounds like you’re making a lot of assumptions, but you need actual facts to make any decision. I would call a few real estate agents and get them to give you a sales value on your home. I would talk to a lender and see what you would be able to borrow to buy something else. From there, see if any houses are available at the price you can afford, keeping in mind you will need a down payment.  Then see if anything want to do is feasible.