$500 lot rent for a trailer that rents for $760

[Max Miller]

With most of the real estate around me not having good cash flow numbers, I stated looking at some trailer/manufactured home parks.

One near me in south Ypsilanti (south of I-94) has some going from between $10k-$40k  a $10k example is 900 sq ft 2 bedroom that rents for $760/mo. A 1150sq ft 3 bed 2 bath goes for $20k-$40k and can rent for $780.  Lot rent is $480-$520.  That seems really high to me and really kills the cash flow. Utilities are separate and I would have the tenant pay them. I can pay cash. After taxes and insurance I think the only winner here is the park.

Anyone have trailer park experience and can chime in?

Thanks.