Mobile Home Parks Wanted

[Paul Stout]

I am currently seeking mobile home park investments in the Midwest.  I am looking primarily in Indiana but I will consider elsewhere.  I am interested in parks with minimum $200 lottery sand public water and sewer in areas of 50k plus populations and $75k median home values.

[Belinda Lopez]

Lol - I'm usually pretty good at figuring out those auto correct mistypes but that one had me stumped!  Okay, what you are looking for is a pretty typical Mid Western/Southern park.  Anything you find on loopnet and even the MHP store are usually retail buys.  If you are looking for a under 10% Cap Rate then those are great.  The best deals will be direct from owners, brokers and wholesalers who specialize in MHPs.

Start networking at your local REIAs to find those who can find good deals for you.  You can also do your own mailings to local MHP owners.

And don't discount Parks with private Wells and Septic systems.  I have several owners who would never tie into public water and pay for water when they have better quality and more control over their own wells.  As long as the utilities are maintained and you do proper due diligence these shouldn't limit you.  Also, many parks were built on the outskirts of town before public utilities were available and now they are.  We have three parks right now where public utilities are now available where just a few months they weren't.  If you really want to tie in at least you have the option.  Some times the owner will even discount to assist that process and there are also several state level programs that will reimburse owners for tying in.

Oh, another thought. I've often found MHPs miscategorized under multifamily listings by local agents who have never listed a park before and probably never will again. Keep alerts active on Craigslist and your local MLS multifamily to find these hidden gems.