Were they marketed deals?

Now, you need to figure out how to find deals and pay for them.

Thanks for the tip!

I'd look into tenant laws for more specifics.That said, there are many investors who are successfully executing deals in the Bay.

What made you interested in investing in this type of deal?

So for now we continue to hunt for deals, but most do not pencil out.

@Michael EdwardsI would ask them for a contract but if this is one of those deals where they pay off the mortgage for equity in the property understand your portion of the equity will be very minor.

This is why I think the best reward for a referral is the promise that you will take care of the client and send them right back to the realtor for all future deals.  

I have done many of these deals.

But per lot it will cost roughly the following:$1,500 Electrical poles, meter installation $2,000 water taps and connections$5,000 grading and land prep$8,000 septic installation (assuming a 1:1 ratio of homes to 1000 gallon septics)$5,000 down payment on each home ($700-750 / thereafter per unit)$21,500 total set up x 17 = $365,000Ongoing expenses after development would look something this for POH model: $12,750 a month in mobile home mortgages (17 x 750 for PITI on each unit) $1,900 a month in land mortgage PITI (house) $3,000 a month landscaping$2,000 a month in reserve emergency fund$2,200 management$21,850 a month total expenses $262,200‬/yearOngoing incomes after development would look something this for POH model:$27,000/month ($1500 x 18 {17 mobile homes plus house})$324,000/year324k-262,2k = 61,800 net pre-tax profit or $5,150/month.Opportunities to reduce start up expenses: Bulk deals with the government or contractors for doing all the work at once (electrical, water, land grading, septic) Trade free rent for someone to mow and landscape (turning a $3k event into a $650 event every month).