Possible first MHP.. What do you guys think?
Dec 16, 04:22 PM Vote
Hey guys been reading here for awhile and I have definitely learned a lot. First time posting so I'll introduce myself. My name is Justin. I'm 28 and I live in south Louisiana. I have a fulltime job making 6 figures but I know all good things must come to an end so I'm trying to be prepared for when that time comes.
Here are the details for the mhp. Possible first deal!!
Income:
44 lots total
2 lots empty
4 lots in the back not completed. (needs power pole and water meter)
13 rental trailers. Avg rent $575
25 lots rented. $140 per lot
Total. 10,975/mn
Possible potential. 12,900/mn (add the 6 empty lots and up the lot rent to 175)
lot rent hasn't been raised in 5 yrs!
Expenses:
Property tax 2650/yr
Million dollar ins 2500/yr
Lights and sewer system 190/mn
Misc maintenance 1000/mn
Total. 1620/mn
Gross Income 131,700/ yr
Expenses 19,440/ yr
NOI 112,260/ yr..... 13% cap rate?
Asking price $885,000
Well kept and very clean
Tenants pay water
Paved road and driveways
Property manager lives onsite rent free
3 1982 trailers and the rest are 95' and up
Sewer system is 12 years old and can handle up to 50 trailers
Reason he is selling is to buy a bigger park
Thanks in advance for all the help. Justin