How to evaluate very small park and make a reasonable offer to owner?

Hi,
Will appreciate any advice on how to estimate price for very small park
and also opinion if small parks worth efforts at all.

We are currently thinking of starting to invest in MH parks, but since we are very new to this business and have a limited finances available, we are thinking to start from small park down south, in Florida.
I contacted owners directly and found a park in north-central part of Florida that is pretty small 1.5 acres and 9 pads, 2 tenant-owned homes and 7 park owned homes. All pretty old - 1970-80.
Owner is 73 years old and has no idea how much it worth and how much he wants for it. He is also willing to consider financing.
Lot rent for pads is 250/month for tenant-owned homes, and those seven homes are rented 400-600/month.
Major con - no public utilities, well and 2 septic.
Assuming pad rent is 250 and all are rented the estimate value would be about 140k or even more…
And county appraiser says about 132k as well, but honestly for that part of Florida it feels like too much…
So should I make offer for like 40% less then max value?
Rents for lots already are on market level for that part of florida, so price of 140k for this property likely be top for what we could sell it after…
We are hoping to have small park like that just to help support our family (and hopefully have some more time with the kids) and we are ok with little cash flow, but of course we don’t want more trouble.

We still to come and see park but since its 2000 miles from where we currently live I’m trying to get all info I can before coming there (however we plan to move to Florida later).

Thank you for your input!!!

There are a ton of threads explaining valuations here. For a super small park the major adjustment would be they typically have higher expense ratios (50% or more) as fewer tenants absorb costs and vacancies are felt.

I’d also only consider buying a smaller park if it’s in driving distance. Good way to cut your teeth.

i’m not an expert on private utilities, but from what I’ve read here, you need to be VERY knowledgable about them and be prepared for significant repair and maintenance costs. And the problem is compounded in a small park because you have very few homes over which to allocate those costs. And you can plan on such a park to be MUCH harder to sell when its time. There’s no way I’d get involved. Be very careful.

Thank you. We are thinking of how to discuss price with the owner, maybe he is willing to sell cheap.

Thank you. I read all the topics about well and septics here on forum and can tell that private utilities are not good. I’ll still try to find a first one with public utilities, but so many parks in florida have well and septics, hard to find a perfect one…