When I was 20 years old I bought my first trailer I had to use my wife's car as collateral to buy that first trailer that was only $9500 but this was my first step into the passive income generating world that I know today. Since then I've Bought more homes and  trailers and I am by no means a rich man but I feel these moves for me I have really helped me grow as a businessman also as a person.  One reason why want to write the short story is for my friends and clients and others like me who need help to get a start and know all the details of how it was to buy your first rental and get your first tenant in there and the struggles you'll have along the way and what risks you'll encounter how you can get a loan or  other means of financing. This is a step-by-step type of book is a very short story something you can read within an hour and hopefully will help you find the wonderful world of passive income I have read  many business and real estate type of books and at the end of the day they all have a lot in common and that is you have to have passive income in your pool of businesses because we all know trading dollars for time is not scalable because we only have a limited amount of time in the day and in our life. I read some  where that we need to have pigs not the ones at roll around in the mud that is an acronym for passive income generators these are businesses or properties that add money into our pool  even when we are asleep. The way I have done that  is over the years have acquired a few properties and as these properties rent out each year using your tenants money they should pay themselves off and create that monthly passive income.  I'm 28 years old now and like I said before I'm not a rich man but I made a living for myself that makes things a whole lot easier right don't have to work paycheck to paycheck or worry how  to pay the day today bills.  Let's get started on our steps by step by step basis on buying your first rental property.

1. We are going to focus on buying a very inexpensive property for a few reasons, the main reason is the risk everyone's afraid of risk and afraid that they might lose everything if they take a leap of faith so that's why were talking about trailer homes here.  First thing will need to do is identify a property I live in a small rural town in South Dakota in the way most people sell their mobile homes is either through a realtor, newspaper, craigslist, Facebook or as simple as a sign in the window.  A very important part of this process is to find what you have for mobile home courts in your town once you've done that visit with the landlords of these courts to see if they allow rental mobile homes some courts require that you own your mobile home and live in it others will allow you to rent. The landlord is a good place to look for mobile homes for sale  they always know who is looking to sell or who's looking to move or who's needs fixed up so they are a good resource for you to get leads on finding mobile homes for sale. 

2. Now would be a good time to find out how we are going to buy this mobile home, we have a few options here if we are trying to buy this property with no money down we can offer the seller A short-term contract for deed being a three to five-year contract for deed so on a $10,000 trailer you may offer them a payment of three to $400 a month with a interest-rate  1-2 % above Prime.  Some sellers will allow this but most of them want to get rid of their unit as quick as possible so we need to have a back up plan we need to find a local bank that's willing to do an in-house loan on a mobile home most banks require 20% down so if they're willing to work with you and if you have any equity in a car  or maybe even a credit card or some type of collateral for that 20% down hopefully they'll be willing to work with you on putting a lien on your item to help you by the mobile home. The other option  is if we have friends or family or business partners that would want to invest with you and your mobile home rental you would want to drop a agreement on how you will pay them back and at what terms.  Once we have our money situation figured out now we can move forward with trying to get this mobile home under contract.

3.Once we have found the money  you want to take a look at it now, this is a very important process we need to see that the mobile home has not outlived its life expectancy as many of the mobile homes that are still out in these courts have a lot of these units that were built before 1960 and they are usually in rough shape and they can sometimes be a burden for you to get rid of. It is in your best interest to hire a contractor or inspector to inspect the trailer before you buy it they will charge you between $300 and $500 dollars, it is money well spent.  The main thing they need to look for is to check the frame the roof and the windows and all of the plumbing and mechanical fixtures to make sure they are in working order. 

4. Now that we have our money and we have done our due diligence on the inspection we are ready to put this under contract. This means that we need to get a purchase agreement between you and the seller and set a closing date you can get one of these from your attorney or your realtor and they will help with the closing process. It is very important that when ever you are buying a mobile home or any type of real estate or real property you'll want to check the title and make sure that you were not buying this with any liens or problems.