Mobile home for a first rental

[John Burtle]

I have a friend looking to sell his mobile home. It's 23 years old and in good condition. Two bedroom, 1 full bath, and 1 half bath. Newer siding and skirting. Roof is 10 years old. In a great mobile home park. Lot rent is 190 a month. Owner of the mobile home park plans to raise lot rent to 200.00 a month in the next two years. My buddy wants 9,000 for the mobile home. He purchased a house and no longer needs the mobile home. Taxes are 80.00 a year. Insurance is 25.00 a month. For a 4 year personal loan i'm looking. At 220.00ish a month. Mobile home rent in my area is 550-600.00 a month. I was thinking 600.00 a month is fare. It's minutes from the high school and grade school. 600.00 a month would give me around $145.00 a month profit after expenses. Tenant would pay all utilities. Mobile home park owner takes care of snow plowing. I'd take care of mowing. Would you do it to get your feet wet? Suggestions please

[Paul Ewing]

I have several mobile homes and like them, but I own the land on all of them.  I would have passed on the deal you were presented.  The lot rent was the killer.  Having only $145 after hard expenses wouldn't allow you to save reserves for vacancies or repairs which you will have on a 20 year old mobile.