Mobile Home Park Management Companies | Invest In The Best
Previously seen as a sign of failure, manufactured homes are gaining popularity as a viable housing alternative, and mobile home parks are in high demand. The negative reputation is being replaced by a resurgence that includes lifestyle choices and home affordability. This essay provides a new viewpoint on mobile home park ownership and administration for those who are unfamiliar.
The Advantages of Investing in a Mobile Home Park
#1. Competition is minimal
Let’s face it: the most conventional views of mobile homes bring up ideas of run-down trailer parks and a subpar way of life. While there are certainly some mobile home parks that fit this description, there are many more that provide calm and attractive living. What most people don’t realize about mobile home parks is that the lot rent alone brings in thousands of dollars every month for the park owner.
#2. Identifying an Investment Opportunity
Although investing in manufactured home parks could be lucrative, breaking into the market can be difficult. You might get lucky and find a for-sale mobile home park, but you’ll need to do a lot of homework and research to find a good deal. Traditionally, there have been two options: buy an existing operating mobile home park or buy property and as many trailers as you can afford to put on it.
#3. Low-cost maintenance
When a tenant owns a mobile home, the park owner is not responsible for its upkeep. It is the tenant’s responsibility to repair a leaking roof or a running toilet. The only things a mobile park owner is liable for are utility connections, roads, and any social areas on the property. This is a key advantage that leads to lower operational costs and increased earnings.
Investors in mobile home parks also benefit from their renters’ pride in their houses’ care. Unlike multifamily unit renters, mobile home homeowners frequently have complete ownership of their house, which fosters a sense of community. Investors in mobile home parks also have lower turnover than multifamily landlords. This is owing to the cost and difficulty of relocating a mobile home, which may run from $3,000 to $10,000 depending on size and location, as well as the often-stringent local rules that prevent them from being moved on roads.
Investing in Mobile Home Parks Made Simple
You can invest in mobile home parks in one of two ways: by purchasing the park yourself or by partnering with mobile home park management companies. Buying underperforming parks and turning a profit involves a mix of knowledge, time, money, relationships, and deal access. Some, but not all, of these are common among busy professionals.
Partnering with an expert mobile home park syndicator is a simpler option that allows consumers to invest in MHPs without having to perform all of the heavy labor themselves.
A mobile home park syndicator ( or sponsor) is a firm that invests in mobile home parks in a passive manner. The organization is in charge of sourcing acquisitions, completing all needed duties prior to and after closing, overseeing day-to-day maintenance and property renovations, and maintaining the investment’s overall success. The investor’s only obligation is to contribute funds. Working with seasoned mobile home park management companies like Colony Parks allows an investor to reap the benefits of mobile home parks without the time commitment or hassles that come with owning one.