Benefits of selling your mobile home park
Mobile home parks run as a small business can be burdensome for the owner. On average, the mobile home park owner will spend about twenty to forty hours per month managing the property. Other benefits of selling a mobile home park include:
- Generating a larger return on investment than what rent is generating: The cash generated from a sale will be larger than annual rent generated in low cash rent situations.
- Relieving the burden of managing the property: The owner will no longer have to put time into the property.
- Enabling the owner to move on to other opportunities: The owner can use the cash from the sale for other investments.
- Providing liquidity for the owner: Liquidity from a mobile home park sale can help the owner pay off other debts.
- Allowing the owner to retire from managing the mobile home park: The owner can retire from mobile home park operations and invest their return.
Selling your mobile home park on your own can be hard
Mobile home parks can be difficult to sell. Many mobile home parks are located in rural areas. Many older parks are also in varying states of disrepair, lack submetering to each lot, and often need extensive investment to bring them to modern standards.
Selling a mobile home park through a realtor can pose unique challenges. In some states, realtors need certain licenses when dealing with mobile homes. Buyers will often have to navigate different types of financing channels in order to finance their purchase of a mobile home park.