Are Park-Owned Mobile Homes THAT Bad?
Hello! Looking at a small mobile home park in a strong rental location. 100% of the park is POH. I'm an experienced multifamily investor.
How big is the difference in tenant psychology between a tenant in a Park Owned home who I'm told "won't feel ownership over their home," as compared to a regular working class tenant in my apartment buildings that also doesn't feel ownership over their home? Deal I'm looking at has favorable financing and a strong cap rate in today's market, and I'm trying to talk myself out of it but struggling to find ample reasons.
I'm also curious to understand how the taxes work on selling Park Owned Homes to tenants and retaining the land. Is this a viable strategy to buy a park and work through a plan to return initial capital? Any help is appreciated!