John Hixon
Formulas for evaluating a MHP
2 March 2016 | 21 replies
Assumption 1: If the tenants pay their own utilities the expense ratio should be around 30% (in a well run park)Assumption 2: if the owner pays the utilities the expense ratio should be around 40% (in a well run park)Assumption 3: Do math for a 10 Cap-it works for any Cap rate you choose including positive or negative*************************************************************************************************************************Net operating income=gross income - expenses Using the expense ration of 30% => Net Operating Income*(1-expense ratio)=> NOI*(1-.3)Therefore:NOI/yr=(#lot)*(rent per lot per month)*(12 month per year)*(1-expense ratio)Cap Rate=NOI/Purchase pricedo some 8th grade algebra followed by some 6th grade math (dividing with a decimal)Purchase price=NOI/Cap rateTherefore:Purchase price{tenants pay utility}={#lots*Monthly Rent*12*(1-.3)}/0.1 =>84* lots * rentPurchase Price {owner pays utilities}={#lots*monthy rent*12*(1-.4)}/0.1 =>72*lots*rentThere are the 72/84 numbers derivedIts not rocket surgery.
Lawrence Allmond
Health insurance
2 March 2016 | 6 replies
Mine is a bit high but I have had seven knee surgeries , one shoulder surgery.
Nick Brubaker
How necessary is it to inspect for lead and asbestos?
5 March 2016 | 7 replies
It doesn't cost me much if any more, just some plastic, masks and paperwork.
Cosmo Lee
Hello! My first post! Greetings from OC, CA
7 March 2016 | 13 replies
You can read a book about doing surgery but it doesn't mean you're prepared to do surgery.
George P.
Sprayfoam Insulation - Where to buy on line
5 March 2016 | 4 replies
you could actually put plastic up before the studs and then staple and. duct tape , then use regular insulation . i guess depends on what its being used for and where you live as well . i have seen kits on eBay and amazon , may not be worth it ????
Aaron Bellerose
Landlording with Alzheimer's
21 January 2016 | 5 replies
Both my landlord and his wife have a lot going on with hospital visits, heart surgeries and him having Alzheimer's disease that they do not mentally care any longer for their investment.
Arianne L.
Florida Security Deposit Dispute - help appreciated
22 January 2016 | 14 replies
We did not charge him for it, because our contractor cleared it with one of those long plastic snake things and removed a clump of hair.
Jeff Goddard
Chinese Drywall Pondering
31 January 2016 | 10 replies
Be suspicious of replaced plastic plumbing at the hot water heater and under sinks.
Matthew Sidlo
Adding a unit to building
3 February 2016 | 8 replies
Disclaimer: This is based on adding a door in a single-family home in Missouri; the requirements for multi-family and in other jurisdictions are probably different.If you have any electrical outlet boxes in the fire-rated wall, they probably need to be steel, or the fancier plastic ones... the cheap blue ones aren't rated for it.If you have to bring a pipe through the fire wall, there may be some requirements about that.