How did you buy your latest park?

texas

#1

How did you buy your latest park? Broker ? Direct Mail? Cold Call?

Ive done some good and probably not so good things over the years on marketing.

Im stabilized on my last deal and going to spend more time trying to get a deal in the next few months would love to land one.

(Background)

Im really looking only in a narrow geographic region, will take smaller deals, i know many of the parks and have tried to develop relationships with a lot of owners. Even last week i bumped an offer i previously made, made a new offer, and revisited a verbal offer i made a couple years ago and increased it and formalized it. Im going to hit the local starbucks today and start calling owners , revisiting people i haven’t made contact with , drive parks, i think id like to do some mail as well ( sent one out last year) .

I know with enough time and effort this will yield a result. I just want to be make sure I’m buying at a reasonable valuation and some of the people i think out there are giving to high valuations but at the end of the day, that doesn’t get me the deal or perhaps i am the one making the valuation mistakes :slight_smile:
I am in a good market , i like everything about it going forward. I have no problem penciling in upside for under market rents etc but im not going to put a blind eye to deferred maintenance, vacancy, park owned homes etc ( i will take those beasts on as much as i dont want to!)

Do you have any tips or tricks to share on how you got your last deal? Id love to have more tools in my tool box than fewer so if you have anything to share , please post here! Maybe you wrote your letter different and got a great response?

This is in the greater houston area if that carries any relevance.


#2

My progress is slow but it has worked so far. I just use a couple of brokers I know and slowly the deals appear. However, I do not look for any big value add parks,or vacant parks unless its a small park (under 20 units). But on the larger parks as long as they are fairly valued and there is meat in the bones left for an exit between 5-10 years. I’m game. No home runs just a lot of doubles.

I have tried the calling on the phone but I have seen that owners do already get lots of calls and many times they want outlandish prices. So to me I work with a couple of brokers let them get all the info and then give it to me.

It’s a slower process but cleaner for me.


#3

Thanks for sharing :pray:


#4

My first park was through a wholesale deal. The one that I should close in a couple of months was a referral because people knew I owned a mobile home park and knew the other guy wanted to sell.


#5

Our last was a bank auction–no guarantee of any utilities working or in compliance. It was within our 1/2 mile of our very profitable super nice resort. Drugs were known so we cleaned up our neighborhood and presently worth 3 times what we pay for it 10 years ago–it was a cash sale that our lender would help if needed. We had a set price before the auction and stayed on course. We like to stay within 90 minutes of our home base–much easier to manage and have family time. In over 30 years have never had a park in the city limits and nearby towns less than 10,000 people.