As seen in the report, I am charging utility outside of water and garbage to the tenants and about a 7% average for vacancy, maintenance and cap X with a 25 allocation each month as extra.

By allocating the 10% I never see it as "my" money, it belongs to my business so I don't use it as a profit.

But now that they are at 2-3%, the firms have shifted more of their allocation to other assets, RE being among them, either directly or through Asset Back Securities, because most insurance companies make all their profit from their float, so they have to keep profits up to historical levels.   

Each of them make on avg 400+ per month on cash flow assuming the same reserve allocations as I added in the post above to Joe (Approx 12% capex, 8% vacancy, 8% miscellaneous repairs).

This is due to the large portion of a mobile home park's value being allocated to land improvements, which qualify for bonus depreciation. 

Allocate some of the settlement sheet total cost to land since you can't depreciate land (a topic for another day).

Not close (4th on my list), here to expand my allocation to RE in fact

Hi Nicholas,As a contrasting thought, consider that "diversification" only makes sense if you are allocating your wealth into several good bets.

You would be eligible for the first $250K of profit from the portion allocated to the side you lived in. 

If all units are the same size 1/4 of your $600k sale, or $150k of the proceeds would allocate toward a 121 primary residene exclusion (assuming you owned and occupied it for at least 2 years) and be tax freeThe other $450k would qualify for a 1031 exchange.