Specializing for Extra Profits
As the owner of the park, you rent plots to the mobile home owners—giving them a sense of ownership. Typically, they own the mobile home, but not the land. In exchange for their rent, the residents get access to utilities and amenities.
RV facilities and campgrounds are slightly different from mobile home parks. Travelers generally park their RVs for a few days or weeks as opposed to setting up a permanent residence.
Between the two, mobile home parks are generally better moneymakers. You can typically enjoy a cap rate of 7% to 13%. Plus, defaults are currently lower for people buying manufactured homes!
In this online training, I’ll show you which mobile home parks to build or purchase and where to find them. Then I’ll demonstrate how to get control of the property and structure your agreements. If you do your due diligence and hire the right management company, you will soon be one of those few investors trying to keep this commercial property type a secret… a very profitable secret.
Not every mobile home park is the same. As an owner, you can have specialized parks that cater to low-income buyers, vacationers, and even retirees. As the demand for senior housing soars, there will be incredible opportunity in mobile homes.
You can customize your park to people on vacation or “snowbirds” who only live there half the year. Some parks even convert their spaces to a timeshare-type ownership.
Amenities vary as well. They are a great way to add value to your community and attract more tenants.
You can offer a:
- Swimming pool
- Clubhouse and game room
- Shuffle board court
- Tennis court
When you are weighing your options for acquiring a property, specialized financing is available. For example, the Department of Agriculture offers very attractive financing in rural areas. And creative financing is very common when purchasing mobile home parks.