What Cap Rate Does Your Mobile Home Park Need to Be Profitable?
If you’ve inherited or own a mobile home park, you’ll need to know what capitalization rate it needs to be profitable. Typically, mobile home parks need a 5-12% cap rate in order to bring a profit. For some mobile park homes, the cap rate will be less than 5%.
When that happens, it’s often in the best interest of the owner to sell the park, particularly when there is a need to put in a new sewer line or submetering. However, finding a mobile home park buyer can be time-consuming and stressful, especially with the added responsibility of being a landlord. Fast cash offers make selling your mobile park simple and easy. We’ll explain why you should consider selling your mobile park to a fast cash offer company.
Why Should You Choose a Fast Cash Offer for Your Mobile Park?
Owning a mobile park might be a good investment with high cap rates. However, some mobile parks may not bring enough profits. The estimated cap rate you need for a mobile park to be profitable is at least 5%. For parks that are older, located in a depreciated area, or one that is need of a lot of repairs, the cap rate might be too low to make a profit. In that case, finding a mobile home park buyer will be the smartest financial move.
You Don’t Want to Deal With Landlord Responsibilities
Owning a mobile park is a lot of responsibility. As a landlord, you’ll need to take care of expensive repairs and other issues that arise. If you’re tired of your responsibilities as a landlord or don’t have the necessary funds to cover expensive repairs or maintenance issues, finding a mobile home park buyer is the best option.
You Inherited the Property
If you’ve inherited a mobile home park, you’ll probably want to consider selling it. If the park has a low cap rate, you won’t see much in the way of profits. Plus, you’ll have to deal with landlord responsibilities that you may not want.
You Don’t Want to Deal With the Hassle of Selling
If you don’t want to spend a lot of time on the selling process, you’ll likely want to forgo a real estate agent in favor of an alternative selling method. Opting for an instant cash offer will take a lot of the stress and hassle out of selling your property. Plus, if you sell your property through a real estate agent, you may have to deal with negotiations, like repairs. Our company offers a fair price for your property in its present condition. You won’t have to worry about making any expensive repairs in order to sell it.
If your mobile park’s cap rate is too low to make a profit, you’ll need to consider selling it as soon as possible. Instead of searching for a mobile home park buyer, our company can make you a fast cash offer in as little as a week.