The vacancy is low because I spoke to a mobile home park owner in a much worse off area about 10 miles away said the same thing as the owner of this one, that they can have it rented out in a day or two and have a list of people the day they list them.400*5=2000/mo*12=24,000*.68 (32% expenses)= 16320-632.61 taxes- 700 (estimated insurance)= 14,987.3914987.39/90,200 (89,000+estimated 1200 cash closing)= 16.65 CapFinally to the question, I love the cap rate and will be fine with 10-11 so I can increase my offer so I can win the deal or make unit/park additions, but even if I offered $100,000 for the 5 units, there is no way that each used single wide 2/2 is worth $20,000 each.

A potential win-win situation, provided everyone gets along.

But if I could buy a property and have him live there with roommates and be our landlord then we both win.

It also solves a problem for the city, so a true win, win, win if we can pull it together.

Run numbers, make offers that make sense, take the wins when you get them.

The example above assumes that one has the discipline to save post-tax money and then to use it in real estate. if you can't enforce self-discipline, then clearly a retirement account wins hands down versus not saving plus spending your money and then having nothing come retirement time!

That way, it's a win-win. 

Trying to rent out an undesirable house is not a winning proposition.

The key to making a good deal is to create a win for the seller or at least the perception.  

Win-Win, you either get the increased rent or the ability to renovate.