I’m considering a 1031 exchange and would like feedback from investors who have experience with mobile home parks, particularly smaller, park-owned operations.Current Property (Selling):Duplex purchased in 2021 for approximately $145,000; estimated current value around $210,000\Loan balance: about $90,000Gross rent: $2,400 per monthNOI: approximately $16,000–$18,000 annuallyCash flow after mortgage: around $750–800 per monthLow management requirements and stable tenantsReplacement Property (Under Consideration):Seven-unit mobile home parkAsking price: $395,000Rent: $750 per unit plus $40 for water (total $5,530 per month; $66,360 annually)100% occupied with long-term tenants, several in place four to five yearsAll homes are park-owned, purchased between 2016–2018 with metal roofs and Hardie sidingOwner pays water and sewer (aerobic septic); tenants pay electric and trashMaintenance handled by one individual for $400 per month using personal equipmentGravel road, well maintained; potential to add one or two additional homesMy Pro Forma:Vacancy: 5%Expenses: approximately 40% of effective gross income (includes water, insurance, taxes, maintenance, mowing, etc.)Estimated NOI: $37,800Financing assumption: $255,000 loan at 8% interest, 25-year termAnnual debt service: approximately $23,574Projected cash flow: about $14,250 annually ($1,188 per month)Cap rate: approximately 9.6%Cash-on-cash return: around 10% on $140,000 downDSCR: 1.6 (strong coverage)If the price can be negotiated to the $360,000–$370,000 range, the cash-on-cash return improves to roughly 11–12%.Pros:Consistent, well-maintained units with matching exteriors.

What's your reasoning for wanting to go JV etc on larger multi-family as opposed to doing for SFR and smaller multifamily? 

Thank you, yea I think im going to try and go the "meetup" route and maybe meet some people that are actally doing flips as opposed to talking to people that are making their money selling mentorships!

If not, start doing it today.Gather your recent improvement invoices (furnishings, landscaping, exterior upgrades)—those are the items you want captured in your study.Have a call with your tax advisor (or find one) who understands STRs and cost segregation and ask: “Are we maximizing this for my STR strategy?”

It is not a subject too as I understand it I would like someone to walk me through selling, receiving the fee, even with an existing mortgage, not opposed to a simultaneous close as long as it can be explained to me to the point where I have no questions. 

However, Even though the property is in service in 2025, you could still do a cost segregation study in 2026 and make a Section 481(a) adjustment to catch up missed depreciation......Anthony,as a tax professional, I'm confirming what Brian said.You will need to use the procedure he mentioned which involves completing Form 3115, as opposed to filing an amended return for 2025.

I was quite motivated years ago and personally did all construction minus brick exterior, plumbing (must be certified) and I did not do drywall on 2nd duplex.  

I could really use a gut check from some experienced investors.Here's the story: The seller's initial inspection report on this property came back with several red flags, including "multiple issues with the foundation" and a number of "cracks in the exterior walls."

Wouldn’t be opposed  

Although I am not opposed to talking to anyone, but the insights I can share would be specific to this market also.