Posted by Chris (TX) on July 22, 2002 at 13:10:27:
… I would pay $4,000 - $5,000 per septic, or I could install aerobic system for about $10,000 that should service 3 homes. Water well would cost around $5,000 and there are regulations to consider if you provide water to these homes… would possibly involve setting up water treatment facility for the well water before it went to the homes, etc. Survey, grade work, landscaping, moving costs, intalling electric service to each home, coupled with septic and water well, would all involve an incredibly large chunk of up-front money to do. Then it would take years to recoup that investment.
It’s just not feasible. I can take the same cash, split it into small Lonnie deals (either buying and reselling on a note within a park, or buy and sell for cash… even sell for cash “to be moved”) and double that money in a very short time. I can buy a home today, start my ad on the home, and sell it for twice what I paid for it, within 2-3 weeks… typically.
So how does it make sense to invest in developing a park starting from just the dirt?.. In my opinion… it doesn’t.
If you want to know more, check out the books and videos etc., available on this site, that go into more detail on developing MHP’s.