Selling Mobile Home to Tenants

[Nathan H.]

Hi Bigger Pockets!

I’m hoping to get some advice on how to structure the sale of mobile homes to several tenants at a MHP in Wyoming. 

What I'm trying to accomplish is 2 fold; a higher NOI on the land portion of a MHP and a more affordable monthly payment for the tenants. I don't want to set the tenants up for failure with a bunch of differed maintenance and I also want an aesthetically pleasing park, so I'm in the process of a rehab.

I'm willing to finance all of the trailers to the tenants on terms that would make the monthly payment + their lot rent the same as, or less than market rent. They get a nicer place for the same or less and pay down principal, I don't have to deal with much turnover or maintenance and the land portion gets a higher NOI.

I want to set this up with the ultimate goal of selling the park next year, but keeping the seller carry notes and continuing to receive payments on those. My question is, does anyone have experience with a structure like this? Any advice on how to set this up as far as leases for lots, seller carry vs contract for deed, park rules ect?

I have an attorney I’m going to work with on this, but just wanted to see if there is anyone out there with first hand experience. 

Thanks!

[Rachel H.]

@Nathan H. If you're planning to owner finance the homes, you can always look into working with a licensed mortgage loan originator (LMLO). They'll take care of all of the paperwork and can help you through the process. You may want to talk to a few mobile home park owners and/or dealerships. They may have a few referrals for you on who you can use. Hope that helps!