Brookhaven, MS · Member since 2016 · 38 posts · 7 votes
I don't see the community talk about investing in mobile homes! Buying land used trailers and renting them out? I know it has to do with location but I still don't see many stories on them. What ya'll think?
Wholesaler · Las Vegas, NV · Member since 2008 · 21 posts · 16 votes
10y
Mr.Evans,
Great questions. Based on my experience in years in Real Estate Investing, Mobile home market is kind of like an acquired taste. No one really like that market due to the low returns and the variable down side. The initial investment is more affordable, however the returns are all relative as well. You really cant build strong equity on them. The only favorable situation for a mobile home is one built on a permanent foundation. Which is a mobile home secured on a concrete footing with the wheel base removed. I recall Berkshire Hathaway purchased Clayton homes and loans back in 2003. Which they have cornered that industry in construction and lending. If you take their cue , I guess there is money to be made there. If you have the acquired taste for it.
Investor · Juneau, AK · Member since 2015 · 980 posts · 741 votes
10y
The comments highlight some of the issues. It is a niche and some do well at it. But what said it all for me was watching the excavator across from my multiplex devour and crush ten 30 year old double wides...... They apparently were not worth saving and had reached the end of their useful life (the ultimate depreciation) and actually were some expense to dispose of....meanwhile, all the single family homes and multiplexes have appreciated handsomely and still generate rents.... Just a unique market and, as noted, generally not technically real estate unless permanently affixed to the ground and on its own lot....best of luck.....
I don't see the community talk about investing in mobile homes! Buying land used trailers and renting them out? I know it has to do with location but I still don't see many stories on them. What ya'll think?
Hello and welcome to BP! You are right. There is just a few podcasts and articles. It might mean there is not much competition. It can be a good way to go. Location is real important as well as common area maintanence. Good access and exit are very important as well as good cash flow. Always do the numbers and make sure they are real. If you feel good about it, then make an offer. Trust your gut. Good luck!
Investor · Kalamazoo, MI · Member since 2009 · 1k+ posts · 495 votes
10y
Welcome to BP @Antonio Evans -there is an entire forum here dedicated to Mobile Home Parks and Mobile Home Investing. You will find a ton of information there on the subject and, a lot of professionals willing to answer any question you might have. Have fun and enjoy.