Underwrite how you want, but I can tell you the VAST majority of sophisticated and successful MHP owners do not underwrite rental income to the parks NOI; it usually significantly inflates the value of the asset.

Do not count on inflation. 

So that is how we got rolling in the early years.I do suggest that method, as we benefit from debt pay down, appreciation, inflation and the renovations that we do.  

That kind of motivation is awesome.You can buy perfection, or take the risk... both come at some cost always...Just be very smart about it.One mans trash is another’s treasure...If you did move forward,I wouldn’t “live” in it because of tax reasons...I would also have my plan WITH numbers and a inflated budget, just in case....

At some point, someone has to buy to combat inflation.

There are markets that are Linear which tends to appreciate at the rate of inflation.

And have you accounted for the possibility of increased taxes, if this property if a flip that is now being sold to you at a greatly inflated price from where the taxes are currently set?

Right now, you are able to live simply because you have not yet reached the point where many fall into lifestyle inflation.

I just looked at them and said DUDE this no work.. these assets are not sustainable for anyone but a local mom and pop who is in the asset what your paying for it.. not the inflated value your putting on them

I rounded up just for ease of calculating, and even at that slightly inflated base the return is over 9% pre-property tax, which is much higher than the 2-3% pre-property tax yield around SF.Which begs the question: Why aren't more investors jumping on these?