There is a rent limit you can charge your tenants
Generally speaking, mobile homes are considered to be a more affordable housing option for people. Therefore, they might not be accustomed to paying a higher rent amount. Nationwide, the average rent for a mobile home lot ranges between $125 to $800. The average American who rents an apartment pays between $1,300 to $1,800 per month.
If you want to raise rent on your mobile home lots, you have to do it incrementally. Your renters can easily absorb a monthly rent increase of $100 to $200, but you have to spread it out over a period of years. If you have twelve lots, and charge $500, your mobile home park brings in about $6,000 in revenue in one month. To bring your monthly rent per lot up to $700, you could do it by $50 increments over a period of four years. The bottom line is that it takes longer to increase your rent to a number where owning the lot is profitable.
Your mobile home park only has a certain number of lots
Most mobile home parks have a limited number of lots. Generally speaking, you need at least 20 lots in your mobile home park for it to be a worthwhile endeavor. Some cities have regulations pertaining to the size of mobile home parks and how park owners can expand the land size of their property. If you can scale the size of your mobile home park, it can be an easy way to increase your rental income. However, the number of lots can be a constraint on your ability to scale the park.