What happens if someone owns MH free and clear, but doesn't pay lot rent? Can MHP take the home? What is the process?

[Marjorie Wallwey]

I'm looking at a MH in Colorado where the owner owns it free and clear. Lot rent was due yesterday, and she didn't pay it and won't be able to pay it going forward. What can the MHP do in that case? Been searching online (obviously without much success) and can't figure out if/how the MHP would get the home. Owner can't even afford lot rent, so she's not going to move it. MHP made her an offer, but she considers the amount an "insult." Thanks for any insight!
Marjorie

[Ric Miller]

Marjorie,

I managed 2 parks in Fairplay for 9 years, until last summer. I have remdodeled about 100 homes and moved in and set 25.

I would not own a trailer inside a Park unless I owned the park. If you own a home worth 10K and the lot rent is $500/mth, your paying 60% per anum to park it there. The numbers don't work for me.

I would like to own a park, but the ones I've looked at only break even after 20% down, and that is with me as the manager. You can hire someone to collect the rent for a 50% discount on their rent, but that opens a whole new can of problems.

On the bright side, MHP's can be Cash Cows, go overboard on your due dilligence. Call the local police to ask about their involvement there, and if possible try to talk to the town council on a one on one basis. If you have a plan to make improvements, put it in writing and show it to them.

Ric Miller