Kurtis, You have to pencil the deal. Look at income and expenses, noi, etc… On straight lot rent of $125, $85,000 maybe so-so. However, if you can raise the lot rents to $150 and maybe get a few rentals in there then the price seems good. Really you haven’t given us enough information to help you. However, I would rather have a 10 lot park with mh I rent out than a 10 unit rental building. Where I live the numbers are much better for the park. Whatever you do, you need to live close to it. It doesn’t make enough money to drive an hour to it. Good luck.
I’ve found a 10 unit MHP For Sale by Owner. Actually looked at it this spring but he was asking $125,000
Set up like this.
All ten units each have access to public road w/separate water and sewer hookups at the road. 3 lots are .25 acres, but the other 7 lots are only .04 acre, very small. Total rents are $1250 per month. Rents are at approx $50 below market on each lot. Price has dropped to $85,000. He doesn’t own any of the MH, but a lot of older residences(w older MH) so there could be some good profits down the road from typical Lonnie deals. 10 year loan w/monthly payments of $776
Price and terms may be negotiable, but he won’t finance. This isn’t a problem, but was curious what others though about the numbers working.