First Time Mobile Home Park Purchase

[Jason Noel]

I am looking at purchasing a mobile home park in the town I live in. The basics of the listing are:

Purchase Price: 2,500,000.00

NOI: 224,000

Cap Rate: 8.96

5.311 acres

18 mobile homes

Renovated in 2020

I have never made an offer, let alone purchased a mobile home park. I am local and would like to handle the management myself. What advice do you have? What mistakes should I avoid?

Like I said, I’ve never done this, so please be brutally honest with me. Thanks in advance!

[Jay Hinrichs]

Originally posted by @Jason Noel:

@Jay Hinrichs

Thanks Jay,

Great point, There are 18 septic tanks and city water.

Deep conversation with governing department in charge wastewater/septic systems would be appropriate due diligence item on the west coast I personally would not buy a park without city water and sewer I have Owed 4 parks one had well septic was nightmare of the tallest order and a money loser