Profit margins, after paying lot rent, is slim but possible in the lower quality communities assuming lot rent is low.

We have dabbled with a similar all-inclusive rent-by-the-room of 4 bedroom townhomes in Colorado, and it has been very profitable.   -- Mark

Make an offer based on that minus repair minus your fee minus your end buyer’s closing cost and about 25-30% for their profit.

Originally posted by @Varun Parkash:Originally posted by @Jay Hinrichs:Loan origination fee will be added to this.. if not they are making a yeild spread premium is how they are getting paid.a loan company cannot stay in business unless they make 3 to 5k per file.. not possible. over head would kill themif its a bank direct then thats different it is a direct big bank then other than interest rate that's a good deal.. although the bank Is paying their RMLO through yield spread this is not a none profit.

Recently put my investing journey on hold to become an agent, and transition from my previous occupation as a welder.

You are asking someone to sell their house for below market value and they know you are going to make a profit off it, so if you aren't solving an issue of theirs then why would they sell to you?

And we’ve made more profit on each deal in progression ending with a latest where we netted about $65k on a pop top.

I feel like with good tenant screening you can get good enough renters who won't give you many problems (most of the time) and make good money off manufactured homes. my grandfather owns many and makes a great profit.

We can rent it for the duration and In addition, the property values will  likely continue to rise, and if we are overpriced, there is better chance of keeping our expected profits. 

.$40.000 - Purchase price$1.400 - Purchase closing costs$10.000 - Repair costs$2.000 - Holding costs$3.900 - Commissions$975 - Sale closing costs$58.275 - Total Costs$65.000 - Sale Price (I split the difference in your range)$6.725 - Profit before personal taxes $53.400 - Total cash invested (Total costs - commissions - sale closing costs)12.59% - ROI (again assuming no financing)The ROI is not horrible but one thing goes wrong or if you are off on your sales number by just 5% and you lose ALL your profit and take a loss on this as a flip.The property you are mentioning should be a rental based on the limited numbers you provided.