All Forum Posts by: Edward Romero

I am analyzing some deals that have 50% or higher TOH (Tenant owned homes) on MHP (Mobile home park). I am running into some unknowns. Does anyone know what is the usual expense ratio of MHP deals that have this type of high TOH. Let’s say a typical park of 10 pads with all occupied and are TOH.

I am looking to buy a mobile home park and ran into an interesting situation. The disclosure of the property released 1 year rent roll and income statement but the expenses seem a bit low. I asked for 2 more years of income statement or rent roll so that I can finalize my analysis but seller is giving me the run around. I am trying to figure out if my request is unreasonable prior to giving an LOI or whether this could be a fishy sale that I should drop. Thank you very much in advance

Some stats on why I think expenses are a red flag

25 % expenses of the gross income

3% on Repairs & Maintenance of the gross income

The repairs and maintenance seem really low since the park owns more than 50% of the homes