I suspect you are looking at the cost of purchasing a manufactured homes/trailer in trailer parks.
The trailers are inexpensive because the value is in the land and the structure is a depreciating asset. The rent for the space typically goes up every year in San Diego (the space rents appreciate similarly to other rents). In addition, many trailer parks are hard to deal with for flips, non-owner occupied rentals, etc. This varies per park. @Justin R. did a flip of a trailer in San Diego probably close to 2 years ago and has some information about it posted on a BP thread. He indicated he did OK, which likely means he did pretty good.
There are successful RE investors that invest in trailer parks. There is at least one BP Podcast on this subject. I have not invested in trailer parks but have listened to the podcast. Basically the podcast placed emphasis on getting the pads occupied as moving the house is fairly rare. The podcast makes investing in trailer parks seem tempting. I think of trailer parks as either lower finances or retired people. I would definitely want a skilled, on-site PM if I were investing in trailer parks.
San Antonio, TX · Member since 2009 · 3k+ posts · 1k+ votes
5y
@Matt Ilharreguy Most times, they do depending on the area. Your best course of action would be to learn the market. Find out the values and rents of mobile homes for the areas you're looking to buy. From there, then it's all a matter of networking and establishing relationships with those who live and work in the mobile home space that can help you get to your goals as a real estate investor. The majority of the business is research and learning how to develop and strengthen relationships. Hope that helps!