Let's raise the rents!

[Mashika Johnson]

Hello,

I'm looking at a few mobile homes as a prospect buy. The average rent is $450/mon. The mobile homes consists of 2-3 bedrooms. Some have 2 full baths, others have 1 full bath and one half bath. Is it against the law to raise the upwards of $200 or would I have to do it by increments? 

[Christine Kankowski]

First, I wouldn't raise anything until the Covid19 situation is over. 

If your plan is to raise the rents 40%, you will lose quite a few tenants, or just have many that refuse to pay and then you have a bigger problem and lots more expense.  Are you sure the market is as high as you think? Depending on your state, it may be legal to raise it that much, but you will have to look into whether or not it is worth it. How long are the current leases? How long have the current tenants been there? Lots of research to do.