All Forum Posts by: Logan M.

I bought my first Mobile Home Park in 2018 and started to realize that every tenant was on a month-to-month lease. At first, I thought this could be a negative but I started realizing a few benefits.

1. Many tenants in MHPs don't care about keeping their credit up when life gets hard and are willing to break their lease regardless of length. You can't force someone to live somewhere or to pay if they just can't.

2. The flexibility to boot problem tenants far outweighs being held hostage by the bad ones.

3. It allows a lot of flexibility with future highest and best opportunities.

4. You can decide when to increase rents.

5. There is nothing cheaper to rent in my market so there are ten potential tenants for each space and because of this, the tenants would be happy being on a month-to-month lease for ten years than finding another place to live with a year lease.

I know some of these sound a little brutal but I would rather leave it up to me to make decisions than have my hands tied. 

@Will Stewart when there are so many places to invest I would have a hard time choosing to buy with that restriction. Typically, states with those restrictions also are not very landlord friendly.

Great points

Today, I was on the phone with a commercial agent talking about different state laws that affect MHPs. One common law gives all tenants in a MHP that own their own home first right to purchase the community when a sale presents itself. The idea isn't bad but here are a few problems that start to happen:

1. The amount of time the tenants have to exercise can kill the deal with any buyer. I have heard upwards of 12+ months.

2. To avoid selling homes to others stop creating restrictions on your property.

3. Many times these end up in litigation and can further delay a sale.

4. The organizations that help tenants purchase are far and in between. One of the largest said because of interest rates in 2023 they only closed on one transaction nationwide.

5. Even though it may be unlikely that the tenants can buy the community they can take the full duration of time given.

 What you just said is the exact reason I don't have a truck. I recently got my wife's car and traded in my Honda Accord for her car. I will say that having AWD and more space in the back has been great.

I am a licensed deal @Patrick O'Shea. 

@Myles Mannino I think Legacy will still require you to be a dealer in Utah. It took them a long time to figure out that back-end piece and they eventually said if I am a dealer than they can sell to me but their website says you don't need to be.

 Where were you two months ago!? I am signing an order with them today.

I have a theory that the reason why most millionaires in America drive F-150s is because one they can be economical and two because most MIllionaires are created through real estate, otherwise they would all be driving Honda Civics.

What are some other reasons people choose to buy the cars they drive?

 21st Mortgage has two main programs, one is the cash program to fill empty spaces and the other is for the buyer who wants to buy a home. They want me to do a handful of the buyer loans at a reduced sale price before financing the home purchases, chicken and the egg scenario.

I checked her lease and she is month to month. Once we fill a few vacancies we have she is outta here!!!

Then she can exercise her 5th amendment right all day long.