Hey Guys I currently have a mobile home park under contract for roughly a 12 cap. As it stands right now we are having trouble acquiring financing for the property. So I was looking at potentially assigning the contract for a fee. Where would you guys begin to look in regards to finding investors who would be interested in a property like this? When I say investors I mean financing for myself, a joint venture partner or someone to assign the contract to. Any help or ideas would be great. Thank you so much for any help you guys could offer!
PS- The property is not local to me so I have tried the local REIAs in the area and have had no success with them. Thanks again everyone!
Bigger Pockets marketplace, craigslist ads in all major cities, mobilehomeparkstore, loopnet. I have a select maling list of mhp investors, some are nationwide but mostly looking in the Texas market.
There's also MHP groups on linkedin and facebook that are hotter places to advertise national deals.
FWIW I'd sign a non disclosure non compete and fee agreement with the buyer and turn the seller over directly to the buyer. All commercial buyers want to write their own contracts, do their own due diligence etc. Your contract wording etc may not be that interesting to a buyer, but the deal might be.
I don't buy 12 caps. I would buy a 30% cash on cash park where the seller gives 80% financing.
Just a word re cap rate bids on small parks. Most likely some or all of the homes are park owned. If so smart buyers only cap rate the lot rent and toss the home rent to calculate the park offer price. IE Home rent is $500, but prevailing area lot rent is $200, base the offer on $200 per lot at 30% expense ratio. Most sellers don't understand why banks and appraisers and smart buyers do this. You only alternative is to tell the seller that ok, I'll include the home rent, but the expense ratio has to be 60% (40% goes toward the NOI).
Read the other MHP discussions here.
Also post your deal on the free forum at: mobilehomeuniversity.com
Not a forsale board but they may refer you.
@Ryan Wanner my partner and I have been looking for a park to purchase. If you'd like to send me the details we might be interested in buying it and paying you an assignment fee.