Looking for advice on MHP

[Kyle Bethune]

I have a guy wanting me to buy his MHP. He wants a lot for it, just wondering if I were to make an offer what you think a good deal would be. 18 units all park owned 2.5 acres Small Landry area ($250mo) Well water Septic systems Units are old and run down $8500 per month gross Asking $790,000

[Bill F.]

@Kyle Bethune Don't really have enough info to make an accurate call. More likely than not over priced. You have two business to buy here. A Mobile home park (Which runs off the lot rent and laundry income) and a rental portfolio of 18 MH that happen to be in the park.

-Do you want to manage 18 MH rentals and the associated tenants?

- What is lot rent in the area?

-What are the expenses for the past year? Past 5 would be better to get an average and an idea of deferred maintenance.

-How much are the 18 homes worth in total? 

-How knowledgeable are you with well and septic. Also do you have the capital to repair in case of an issue?

-How much useful life is remaining in the septic and can it be replaced?