Is it worth developing vacant land for mhp to sell?

[Nick Adams]

Has anyone developed a flat, grassy piece of land and gotten it zoned for mhp, put in septics, slabs, electric hookups etc. and then sell the land as a ready to infiltrate mhp with no mobile homes in it yet? Is this a profitable strategy? Assuming I own all the excavation equipment and can install all the septic tanks myself. 

[Allan Smith]

If you aren't sure if it's profitable you are not ready yet for this deal. MHPs are very profitable,  but you need to run the numbers.find out what a lot rents for if someone brings their own trailer. Figure out expenses then get your cap rate. Ask brokers in the area what a good cap rate is for that type of asset.

while researching lot rent, seek out demand for something like this. If it's very rural it might not get rented by anyone.

oh and lastly, make sure to run the numbers as if you paid someone to install septic and excavate. Way too much risk in this deal to only get paid as an installer.