I'm really intrested In buying a mobile home park. I like the idea of collecting rent every month and not owning the units where tennants live.
I was hoping a mobile home park owner could give me some insight in how their day usually goes? What can go wrong? What type of calls do you receive? How many hours a week do you devote to maitaining the park?
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Nothings perfect including parks. zero park owned, all municipal utilities rarely exists. Some park owned, septic, gravel roads and all in between are what's forsale...
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Good question Brandon.
I too would be very curious to hear active mobile home park owners day-to-day routines. Only owning one park I woul feel very limited in giving any proper advice concerning this. There are others much more qualified than me in this arena.
With that said I would imagine that the answer is "it depends". It depends on the person, their business model, constraints, and goals.
However, I may be looking at this all wrong though. Looking forward to hearing from others.
Any mobile home park owners out there that can answer this?
I've been in the business 8 years.
But as regards what I spent time on when I was getting started - I spent my time dealing with problem tenants, mostly. I made the mistake of renting mobile homes. I did charge a rental premium ($650 vs. $550), which made renting profitable from a P&L perspective, but I was not valuing my time as an expense into the P&L. So now I only RTO. We still have turnover, of course, but it is around 1/5th the level of renters. Problem tenants damage homes, scare away other tenants, etc. So embrace what I call the 'J curve.' Your profits will dip at first when you kick out bad tenants, and then go much higher 6 - 9 months down the road. You want to build a community of folks that want to own homes, not rent. Enforce no-pay, no-stay. Kick out any drug dealers, sex offenders, etc.
My first park was also an infill project, and I was my own General Contractor getting competitive bids, overseeing the work being done, etc. I now outsource that to others.
If you buy a park with (nearly) all resident-owned homes, and then infill with your homes and RTO those to keep the ball rolling with tenants that exhibit pride of ownership, then you'll spend very little time on your park - I'd guess about 1 minute/week/pad (assuming you outsource your bookkeeping, GC, management, and maintenance).
To your continued success,
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