My First Mobile Home Park Purchase

[Michelle Pultz]

Hello BP family. I am a fairly new real estate investor of sf. When looking for other deasl I came across this mobile home park for sale online. I know that mobile home parks are profitable so I am in the process of running the numbers for this park so I know what is my best price to offer. I have established  a good rapport with the seller over the phone and now Ill give you a quick idea of the numbers with the info I have right now. They are asking 350k for a 19 unit and a 6 unit. Most of the lot rents are between 244-281. There are 18 lots filled all owned by the tenant. The parks have village water and sewer which I would be turning over to the tenant and they are responsible for their own garbage. As of right now the current owners are doing all the upkeep so I would have to factor in a property management team price. I did go drive out to the park and it is well kept and the units are in good shape. I know I have due dilligences to find out if this property will cash flow. What are some key numbers I should have. I saw an arbitrary formula for coming up with a price to offer which is Lot rent X # of units X 70. Is that a good formula to use? Also are there calculators on BP I can use to plug in the numbers and create a report that I could show to my lenders. Also the seller stated she really doesn't want to owner finance, but if I can help her to see that its a good idea for her to do the owner finance I fell like she would be open to that option as well.