Mobile home benefits

[Joshua Chen]

I was curious about mobile homes, but my knowledge of them is practically nonexistent. Could someone explain to me the benefits of mobile homes vs other investments?

[Kathy Miller]

@Lee Schaeffer

First you have to determine if mobile home parks are allowed in your area. Many cities have zoning limitations against them. Finding an area that allows a MHP and has access to city water and sewer is ideal. Existing parks like this sell for $400,000 and up, depending on size and market. We were able to buy a 7 acre parcel that had city water and septics set up for single-family houses. The seller lost his financing so we got a deal. The land had once been a mobile home park so the zoning was already in place. We started putting in homes and renting them. So far we have 9 and they are always full. Cash flows like crazy!