Why a Mobile Home Park Brokerage Wants To Buy Your Property

Mobile home parks have long been considered an attractive investment opportunity for real estate investors. While building a new mobile home park may seem like an appealing option, many investors prefer to purchase existing parks instead. Some of the challenges of building a new mobile home park make it easier to buy an existing property and improve it, letting you walk away with a fast cash offer.

Existing Infrastructure

One of the biggest advantages of buying an existing mobile home park is that it already has established infrastructure in place. This can include everything from roads and utilities to buildings and landscaping. Buying an existing park with a well-maintained infrastructure can save investors significant time and money compared to building a new park from scratch.

For a new mobile home park, an investor would likely need to secure land, pay legal fees, develop water and sewage treatment facilities, and potentially have to purchase mobile home parks. A new 100-lot park could cost anywhere from $5 to $6 million. An existing mobile home park already has infrastructure in place. Even if it requires improvements, an existing mobile home park is often a better option for a brokerage.

Existing Income and Expenses

Buying an existing mobile home park provides a brokerage with a clear understanding of the park’s income and expenses. This can make it easier to evaluate the park’s profitability and determine whether it is a good investment opportunity. In contrast, building a new mobile home park involves many unknowns, including the cost of construction and the potential income from tenants.

After purchasing and investing money in an existing mobile home park, a brokerage like Mobile Home Park Instant Offer can easily optimize the park’s income and expenses. Raising rent on existing tenants is easier than attracting tenants to a new park. Additionally, existing infrastructure can be improved by upgrades such as submetering. Even if your mobile home park has some issues, its existing rent base and baseline expenditures can make it an enticing asset for a mobile home park brokerage.

Existing Tenants

Another benefit of buying an existing mobile home park is that it already has tenants in place. This can provide investors with a reliable source of income and reduce the risk associated with vacancies. Additionally, existing tenants can help to establish a sense of community in the park, which can make it more attractive to potential buyers in the future. In 2019, the average occupancy of mobile home parks was about 93%. It’s easier to improve an existing mobile home park with tenants rather than fill a new mobile home park.

Additionally, tenants tend to stay in mobile home parks longer than they do in other types of properties. Tenants tend to stay in mobile home parks for two years or longer, whereas with other types of rentals, they may only elect to stay for under a year. Your existing tenant base is a strong incentive for a mobile home brokerage like Mobile Home Park Instant Offer to make you a cash offer.

Location

The existing mobile home lot you want to sell is an enticing asset for a mobile home park brokerage, especially since many cities and areas in the country do not allow for new mobile home park development. Some places in the United States that have passed an ordinance curbing new mobile home park development include:

  • Denver, CO: Denver has a law that has been on the books since 1956 that bans new mobile home park development.
  • Blount County, Alabama: This county has a ban on any home that is smaller than 1800 square feet.
  • Slaughterville, Oklahoma: Slaughterville has some intense regulations on mobile home parks, including regulations that mobile homes be spaced a certain distance and have twelve-foot shrubs.
  • Tate County, Mississippi: With some new zoning restrictions, independent landowners cannot put a mobile home park on their own property.

An existing mobile home park is an enticing investment opportunity for a brokerage because new legislation makes it difficult to build a new park.

What Are the Benefits of Accepting a Fast Cash Offer From a Mobile Home Park Brokerage?

If you are looking for a fast cash offer on your existing mobile home park, consider Mobile Home Park Instant Offer. These include:

  • Quick and Easy Sale: A fast cash offer enables owners of mobile home parks to sell their property quickly and easily, without the lengthy negotiations and paperwork that are typically associated with traditional real estate sales.
  • Avoidance of Listing Fees: Listing a mobile home park for sale through a real estate agent can result in high fees and commissions. A fast cash offer eliminates these fees and provides a simple, straightforward solution for owners.
  • Cash Payment: A cash offer provides the owner with an immediate payment, which can be used for a variety of purposes, such as retirement, debt repayment, or investment in other opportunities.
  • No Need for Repairs or Upgrades: In a traditional real estate sale, owners may need to invest in repairs or upgrades to make their property more attractive to buyers. A fast cash offer eliminates this requirement, as buyers are typically willing to purchase mobile home parks in their current condition.

Also, there is a reduced financial risk for working with a mobile home park brokerage. Often, arrangements like seller financing can fall through. Additionally, Mobile Home Park Instant Offer has a simple, easy closing process. We can get you a quote within a short amount of time, and you can get a check after we go through our valuation process.