[Calc Review] Help me analyze this deal -Mobile Home Park

[Clint Morris]

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*This link comes directly from our calculators, based on information input by the member who posted.

This is the AS-IS deal. This would be my first MHP so my confidence level isn't terribly high with my analysis. I went and viewed the park yesterday.

A few details:

17 Lots have POH - 8 currently rented - Avg. Rent $425

8 Vacant lots - 7 TOH - Lot rent $135

City Electric

Well water - All testing passed for previous 2 years

Septic system - New pumps 1 year ago

Currently has homes on only one side of private road. Told current well/septic could handle 20-25 more pads

Comps POH are renting for $550, lots at $185-225.


This is obviously not a good deal as it currently states. A few of my concerns/questions:

Do the expenses seem realistic?

How do you figure in "potential" when working up an offer? There are 5 more POH that need minimal work to get them rented.

What do you think a fair price for this park is?

Thanks BP Community!