Can you imagine what our vacancy rates would be if we waited 30 days to process every application?  

. $20k towards down payment and closing costs, and the rest for your reserves.I know it's probably not the answer you wanted to hear but you don't want to be caught with your pants down with an unexpected expense, eviction, or vacancy.

I found a deal on a small 7 space MHP in seemingly great condition but mostly vacant and curious to get someone with experience take on the situation.I found this park by responding to a post for a mobile home park vacancy on a local Facebook buy, sale, trade site.

I know i need to factor in 5% for vacancy and maybe 10% for maintenance.

You can ask to see three years of income and operating expenses from the current owner to get an idea of vacancy, income and expenses and can estimate a post-renovation ARV by looking at what expenses can be decreased and seeing where you can add income. 

After accounting for 5% vacancy (our property management company is currently at 3%), and our $1650/month mortgage (20yrs, 4.65% APR), we are left with ~$8,000/yr in cash flows and an additional ~$10,000/yr in amortization that we can pull out whenever we refinance.

However, we have land that can be developed and our vacancy rate is between 1 and 2 percent in this county.  

Here are the two analyses: Initial Investment Purchase Price $89,000.00 Closing Costs $2,225.00 Renovation Costs(allegedly turn key) $3,000.00 Total Investment Costs $94,225.00 Financing Costs Down Payment (%) 20.00% Down Payment ($) $17,800.00 Mortgage Balance $71,200.00 Annual Interest Rate 4.00% Loan Term (months) 360 Total Invested Capital $23,025.00 Fixed Monthly Operating Expenses P&I $339.92 Financing Charges $0.00 Administration Fees $12.50 Property Taxes $197.08 Homeowners Insurance $111.86 HOA Fees $0.00 Fixed Monthly Total Costs $661.36 Variable Monthly Operating Expenses Property Management $157.50 Advertisements/Referrals $65.63 Vacancy & Collection Losses $131.25 Capital Expenditures Replacement Fund $50.00 General Maintenance Fund $50.00 Temporary Utilities $10.00 Pest Control (Optional) $0.00 Lawn Care (Optional) $0.00 Total Variable Expenses $464.38 Total Monthly Expenses $1,125.74 Annual Operating Expenses $13,508.86 Operating Income Monthly Market Rent $1,575.00 Annual Gross Revenue $18,900.00 Monthly Profit (or Loss) $449.26 Annual Net Profit (or Loss) $5,391.14I present to you such a thorough analysis in the attempt to make sure I'm not making any glaring mistakes!

The problems are 1) selling price for new construction are low 2) lots of supply of land to compete against you.I love land entitlement deals, but only in areas where land is scarce, rental vacancy are high, and SFR goes for at least $400k.

Hello,Working with some partners to decrease vacancy rate of 160 residential units in a large Ohio town near Columbus.