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Updated almost 5 years ago,
Why No NEW Mobile Home Parks?
I've been investing in singular mobile homes now for about 3 months now. I've been running some numbers of existing park acquisitions and have had some interesting input from some of the people I've purchased homes for. They complain ALOT about new investors/companies purchasing these mom and pop parks and raising lot rents. SO, my questions are:
1) Why are there no new parks being built?
- Is it the cities that are hindering new construction or investors/developers not thinking its profitable?
- And of the new parks that ARE being built, why are they shifting towards a "rental only" model?
2) IF current park models aren't sustainable, is there a way to still profit while owning a park and NOT hiking up lot rent for owners (alleviating financial burden of MANY tenants) and keeping most of the homes in the park tenant owned?
- I have a park dream of 100 lots, tiny homes, RVs, and mobile homes welcome. I'm wondering if that could possibly be profitable. :)
Thanks in advance for the input!