Trashed trailers in a very small town

[Trystan Fuglseth]

Hey i've been offered some free mobile homes from a couple of investors who bought a 30 lot park, in a town of about 1800 people. It has a small college and from the people ive talked to rents are seasonal and units can sit vacant for long periods of time. I could get these things fixed up to livable condition and the plan would be to rent them out at 700, 300 dollar lot rent included tenant paying utilities. Or work out an owner financing deal but I dont think we'd get too much. 2 beds in this town are going for about 500 bucks. I can negotiate a decent time period where we have no lot rent but I think the max would probably be about 6 months. I dont have a super specific question but what do you guys think about this opportunity? Any advice?

[Hai Loc]

Not worth it.. Lot rents will kill you when you have vacancies.. The town is so small and you may struggle with keeping your places occupied. The park owner doesn't care as long as he gets his $300 a month..

You may think the $400 a month margin is good but you have to pay trailer tax which isn't much but the vacancy and maintenance is what's gonna kill you..  The value of the mobile homes will not increase as they get older.. Its pure cash flow and that's it.. You don't even have potential appreciation..