All Forum Posts by: Andrew Keel

Hey Drew,

A lot of the lists online are outdated and don't have complete contact information. It's a lot of work but what we do is identify parks using Google Earth, finding that most are owned by a LLC. We then use the respective Secretary of State website to find the owner info, from there we skip trace (try multiple skiptrace services) their contact information and cold call them to establish contact.

You could also hire a part-time VA to help create the list for you. We have 4 full time VA's that only update our data and lists for the cold calling team.

Also, make sure the number you’re calling out from isn’t showing up as “SPAM LIKELY” on apple phones etc.

Good luck,
Andrew Keel

Hey Luke,

We set up all of our MHPs under their own LLC and we always get an array of insurance for each of our parks. There's a few types of insurance policies that you should look at getting including: general liability, property coverage for buildings and loss of income. I recommend you consult with insurance brokers (like Mobile Insurance/ Kurt Kelley) and try to get 3 different competitive quotes for each type of insurance you need, from there you should be able to choose the most cost effective solution for you and budget that in your underwriting. This is likely a mom & pop taking a HUGE RISK by not being insured.

Goodluck,

Hi Harrison,

We personally review MarketInsider magazine by MHVillage and use JLT market reports but have found these only really work in big markets based on what appraisers are seeing, which may be few and far between this year given that transaction levels are way down.

Goodluck,
Andrew Keel

Hi Brandon,

I recommend adding Metron-Farnier submeters asap and billing back utilities as quickly as possible. This should drop the total consumption by around 30% right away because now it’s being tracked. Make sure to hire a plumber to insulate and heat tape the submeters really well if this park is up north where it gets cold.

I recommend waiting then to increase rents until around month 3 after you've invested some CapEx dollars into the park through road improvements, tree trimming, new signage/fencing etc. This does wonders for morale and residents in our communities have been more willing to pay the increase after seeing our improvements.

Best of luck to you and congrats on the value add park - it sounds like a good one with rents so low. Feel free to reach out if you have any questions.

Good luck,
Andrew Keel

We mainly use Craigslist and Facebook Marketplace, which has given us great success in finding organic move-ins. Word of mouth is also great, speak to the residents and see if they know anyone looking. Another option is putting a sign outfront of your community on the road that says “MOVE YOUR MOBILE HOME HERE FOR FREE”. Organic move-ins are rare in most markets, have you thought about bringing a home in yourself and selling it/ renting it once it is ready to go? This has been by far our fastest way to infill/ increase occupancy.

Good luck,
Andrew Keel

Hey there!

Welcome to MHP investing! To help you vet MHP opportunities effectively, here are some suggestions:

Market Research: Study local MHP comps (occupancy rates, rental rates and condition), review major employers, median income, population trends, etc. We use bestplaces.net and datacompusa.com- look at market data drop down on this website for this. It also helps to get your boots on the ground and drive through the market.

Local Regulations: Understand zoning laws pertaining to MHPs in the area. Call the zoning dept. and ask about their process and restrictions on allowing the MHP owner to bring in new and used mobile homes to fill vacancy. Ask for a zoning certificate on the parcels of the subject park.

Networking: Connect with and possibly partner with other experienced MHP owners/investors.

Online Resources: Explore forums like this one, and the Mobile Home University Forum. Also try attend the MHU boot camp virtually (worth every penny) to learn how to value MHP’s.

Financial Analysis: A real quick, back of the napkin way to estimate the value a park is with this equation: # of Lots Occupied x Market Avg Lot Rent Amount = Monthly Gross rents X .60 (assume 40% expenses) = Monthly Net Income x 12 months = Annual NOI/.09 (assume 9 cap value) = Estimate of value.

Stay Informed: Subscribe to industry newsletters and news resources (MHInsider for example).

Remember that MHP investing can potentially be a lucrative venture, but it also comes with its own unique set of challenges. Take your time to research, evaluate and speak to professionals about potential opportunities- don't rush into any decisions. All the best with your MHP investing journey! If you have more specific questions or need further assistance, feel free to ask.

Good luck,
Andrew Keel

The mobile home park asset class indeed holds promise in our current housing landscape based on how it has performed during previous recessionary cycles. Here are some key insights in my experience:

Steady Demand: The ongoing need for affordable housing tends to create consistent demand for these communities even during recessions, given the historically lower rental amounts in comparison to other multi-family investments.

Resilience: Even during economic downturns, these communities tend to remain attractive due to their affordability. Also they have maintained consistent NOI growth even during downturns outsizing many other asset classes.

Tax Advantages: Mobile Home Parks often offer tax advantages through depreciation deductions, 1031 exchanges, favorable capital gains treatment, and deductible expenses to name a few.

Scalability: Mobile home park investments typically offer opportunities to scale your portfolio, diversify holdings, and spread risk across multiple properties in multiple markets since they can be easier to manage remotely if you have enough scale for a team.

Low Operating Costs: Operating and maintenance costs for mobile home parks are generally lower than for traditional apartment complexes or single-family homes.

Investing both actively and passively in this asset class can potentially provide both financial returns and a valuable contribution to addressing the affordable housing crisis. Success is often dependent on a combination of market knowledge and effective management practices, which typically comes from experience in my opinion.

Best of luck and don’t hesitate to reach out if you have any questions!

Obtaining titles for untitled mobile homes can be a hefty process, generally varying in difficulty and cost. In Indiana, the specific steps typically depend on the circumstances and local regulations. Generally, you'll need supporting documentation, like bills of sale, affidavits, VIN verifications and DMV involvement. Consulting a local attorney or title company familiar with mobile home titling in Indiana is advisable for accurate guidance tailored to your situation. We’ve used SnickFish (https://snickfish.com/mobile-home-title-services/) previously with much success at scale. Best, Andrew Keel.