All Forum Posts by: Mara Altman

Thank you, Jenkins! I appreciate it!

Thanks, Tim. I didn't think you were trying to be 'smart'; just gathering information.

Very true, Will! Words of wisdom.

Thank you so much, Will!

You're correct; MHPs can be great investments when purchased correctly.

@Mike Van Kleeck , when I first purchased the property it wasn't paying anything close to what it is now. I wrote above that occupancy was below 50%. At that time, the price of the property was reduced to reflect the value. It has taken a lot of time and effort on my part to add value to it.

In the beginning I managed the property myself, along with an experienced manager that I interviewed and hired specifically for my MHP. Now I have the manager there full-time, and I live elsewhere.

@Account Closed , yes. The marketing strategies I use are valuable across the board. It's one of the best techniques out there for finding off market deals, no matter what your plans may be for the properties.

If you don't have much cash, I would focus on deals where the owner would finance the majority of your purchase price, and maybe look for a money partner for the down payment.

Starting out, you're going to have to be very reasonable and generous with the folks you work with in order for you to gain experience. The more money and experience you acquire, the more of the deal you can keep for yourself.

To see what I mean, take my deal for example- if I didn't have the money for the down payment on my MHP, I would've found someone who would have put up the down payment in exchange for part ownership- say 10% or maybe even more-and perhaps a small amount of interest. Every month they would be entitled to a distribution from the net profit equal to the percentage of their ownership, and I would have gotten into the park without a penny of my own money.

My value to the deal would have been the repositioning of the park from a mediocre asset to one that cash flows reliably and consistently, paperwork, evictions, and all other such clerical work.

Especially in the beginning of your investing career, you need to be prepared to work HARD.

Best of luck to you, Tinna!

Hi there fellow Southern Californian!

You're going to love it here on BP. I have lurked for years and just signed up this week myself!

Tim, I'm being just as specific as you are!

Certainly, Stephen.

I'll tell you about my first trailer park. I searched for a long time before I bought anything, close to 7 or 8 months. I didn't want to jump the gun and purchase the fist deal that came across my desk.

I found the deal using standard marketing techniques, (mailing to owners using tax record data, the only difference being I don't send yellow letters- I think that is overdone by investors and therefore can be a turnoff to more experienced sellers. A plain white piece of paper will do.)

I was contacted by the owner of a 45 space trailer park. He told me that he hadn't really thought about selling before he got my letter, but he realized it was time. The gentleman was in his late 60s, and for the past several years had been having trouble with his tenants. There were drug problems, prostitution, and the likes in the park. Because the owner was absentee and the manager was probably partaking in the bad behavior himself, the park was becoming more of a hassle to him than an asset.

He told me that he needed income from the park to continue living the lifestyle he was accustomed to, so he said he would only sell if I would allow him to finance the deal. That was fine by me!

We agreed to $250,000 with $25,000 down and 10% interest for 10 years. Payments are right under $3,000.

Each space brings in between $300 and $350 a piece, and we have all but four spaces occupied at the moment. When I picked the park up, less than half of the spaces were occupied (although most of the spaces already had mobile homes in place- we only had to bring a few in). The park now pulls in over $13,500 per month.

The owner agreed to pay property taxes (the park remains in his name for tax benefits), and I pay insurance and all other park related expenses.

It was a lot of work but worth it.

I prefer the mid-west or the south-east/ south-west. You are right about the fact that you can expect much higher bang for your buck out there- although there are some fantastic opportunities hiding on the West Coast if you know where to look.

I buy MHPs and hotels anywhere in the country. I haven't made the jump to out-of-country yet.

Do you have any specific areas that you're looking at?