Small MHP Commercial Lenders

[Taylor Wilson]

I’m having trouble (as I’ve found many people do) finding funding for small mobile home parks under $500k. I’ve found that local banks are the best route, but found that I’ve wasted valuable time trying to call around to these local banks to finally find one that will lend to find that someone had beat me to the deal. I found one lender Commercial Mortgage City Corp which seems to be privately funded, but can’t tell if this is a scam or a reputable lender?

Any advice would be appreciated!

[Jack Martin]

@Taylor Wilson the perspective from @Angie Shires is a good one and it is definitely worth the time and effort to identify the prospective banks that have an appetite for parks, especially if you intend to be in the business for a long time.  Those relationships are invaluable for a variety of reasons that won't be clear initially.  

The best banks to approach will be local or regional banks, particularly those who like MHPs. You can find out which banks have an appetite for parks by asking the MH/RV brokers in your area, networking through other owners of parks in your area, or simply obtain list of the smaller banks in your area and just calling them to see if they have lend on parks. Keep in mind, the experience of the operator will have significant impact on whether a loan is considered, and the terms of the loan, so if that becomes a barrier, consider bringing on an experienced operator as a partner in the deal, so you can build a track record.