Small mobile home park deal breakdown

[Talley Haines]

I came across a deal and here are the numbers. 

Purchase price 150,000,  50,000 down, pay down the rest over next 5 years at 4% for a 1900 monthly payment.

14 total lots 10 lots are filled and 250 is rent per lot for 2500 monthly rent collected.

My costs will be garbage collection per month at 140, property tax at 90 per month, and liability insurance which I’m still waiting to get a quote (he said his was 20 a month), and prop management at 10% so 250.  

We will about break even with cash in and cash out as it stands right now.  With the payment over the next five years we will not cash flow unless we fill another lot or raise rates but after 5 years I’ll own free and clear.  Rates in the area are around 300 for similar properties so we will raise rates over time.  I think it will cash flow 3,000/month 5 years from now when it’s paid off, but it is not a given.