The real estate market has been hit hard but foreclosures, short sales and a slow moving market. In 2012 real estate markets began to see a surge in sales. This was not due to better credit, lenders or short sale options. The surge came in with remodeled land and home packages. These remodeled modular and mobile home packages hit the market with affordable rates, large land options and the ability to have a comfortable and reachable down payment. For small town real estate, this was an answer to prayer.
Many real estate professionals knew that modular and mobile home financing was easier to obtain for potential home buyers. The terms were easier to adjust, the homes were not as sought after by most home buyers and mortgage companies were willing to accept some pitfalls in credit that banks were not. This meant if the properties were updated and remodeled they would sell faster and keep the real estate companies in business.
The Remodeling Move
Most of the modular and mobile home packages that included land were foreclosures left in various states when the owners moved. Some homes needed only paint and new carpeting. However, other homes needed far more work done to them. Real estate professionals realized that with a small amount of work they would be able to sell a 1600 square foot home and an acre of land to a prospective home buyer for less than $80000 which was well below the market value of most standard homes on the market.
The benefits of the homebuyers were clear. If a home buyer wanted to purchase a home and could not obtain a traditional bank loan for a property, then this was an ideal option. Many of the homes in the same price ranges as these land and home packages would cost double if not triple of what the asking rate for these is. They were easier to finance and easier to obtain a down payment for. They were move in ready and had been remodeled to fix any issues that may have occurred in the foreclosure process. One persons financial tragedy could be another persons dream. The best part is these packages brought the benefit of keeping a small town real estate company alive during hard times.
Overall, real estate companies across the country have started offering these land and home packages on a more consistent basis. They are seeing the clear benefits in the sales process for not only themselves, but also for the home buyers. The properties are moving steadily and fill the gaps for agents between larger more expensive home sales and short sales. These land home packages are also allowing individuals that would normally not be able to purchase land, the option of owning a land and a home, even in a tough economy.