Flipping in 55+ Deed Restricted Communities

[Stefan K.]

I've done some searching on BP for the good and bad of flipping in 55+ communities (when you are not 55+) and the information is somewhat limited to this point.

My business partner and I are considering a couple of flip opportunities in 55+ deed restricted communities. These are mobile homes where you own the land, have an HOA fee for the amenities, but do not pay lot rent and these are not co-ops (but I'd love to hear more on the good and bad of co-ops too).

If the numbers work, what are the things we need to watch out for?

[Phillip Dwyer]

A few things to consider:

1. Snowbird seasonal activity

2. Community amenity usage fees

3. Available financing for your end buyers

4. How many outs do you have if the flip turns bad

- are there rental restrictions

- how many people are allowed to live in one unit

- do all occupants have to be 55+