Updated almost 4 years ago on . Most recent reply
Buying Mobile Home Park Using Master Lease
Looking at Purchasing a Mobile Home Park using master lease with Option to purchase at the end.
Currently 9 spots for mobile homes.
2 are owned by the park (1 occupied no rent collected, 1 vacant needs work)
6 are tenant owned.
Current avg. rent lot is $175.00 (Owner hasnt increased rent in years)
Avg. current market rent is $300-400.
Asking price is $400,000.00 which I think is too high.
Avg market rent for POH is $800-$1000
I am trying to figure out a fair market value using a master lease take over with a purchase agreement in 3 years. Or purchase offer right now. I am coming up so far away from his asking price. Can anyone help me, i can provide more details if needed.
Thank you.