Out of town mobile home park questions

[Kenny C.]

Hello BP,

My wife and I just ran across a deal out of town. It is a 19 unit (4 owned by owner and are on a Rent to own contract, the other 15 are owned by tenants who pay lot rent) mobile home park, the numbers look good, 13% cap rate. Cash flow appears great on first glance. I know our net will be different because we will need to pay for mortgage.

My question before digging deeper into this is.

1. Would this generally be too much for a 1st out of state investment?

2. While doing DD what are some "gotchas" that you've bumped into that we should look at?

3. What are the key questions to ask when I the agent or get in touch with the decision maker/s

4. Is there a different way to figure the value of the property to determine if the asking price is near market?

5. I'm not sure if there is management in place. I know a few people who have had a tenant be like an onsite manager for a discount on lot rent, is that a good route (on first look i like it)

I have a list a questions to ask, I'm just wanting input to see if I'm on track.

Any input, hinta ir tips would be greatly appreciated, Thanks

- K & A