Building vs. Buying Mobile Home Park

[Juliana Limones]

I am purchasing a 2.6 acre land in Texas to get a few mobile homes in and start my mobile home rental business. I would like to have newer MH and options between single or double wide. Would like to make it more like a Mayberry and less like a trailer park. I am spending 60k on the land and have 200k for the project. I would like to start with 4 MH. Is this a pipe dream?

[Justin Tahilramani]

Originally posted by @Juliana Limones:

I am purchasing a 2.6 acre land in Texas to get a few mobile homes in and start my mobile home rental business. I would like to have newer MH and options between single or double wide. Would like to make it more like a Mayberry and less like a trailer park. I am spending 60k on the land and have 200k for the project. I would like to start with 4 MH. Is this a pipe dream?

 There is so much to unpack here. First off, like @Mindy Jensen asked, is the land properly zoned for MHP development? If so, what are the development requirements (buffering, utilities, roads, impact fees, permits, inspections, etc). Assuming that all pans out - what utilities are present? Will you need wells and septics, or are public utilities available? From my experience it takes about 10 - 12k to actually get a MH, moved, blocked and leveled, underpinned, utilities hooked up, etc). If you buy SWs at $60k and have and additional $10k in set-up costs, you probably wont be making a great CoC return.