Buying a park on septic

OK, so I have an accepted offer on a park, it’s a pretty fair deal with decent upside. The only negative on the park is it’s all on one large septic system located on an adjacent lot. It is on city water.

The septic system was replaced in 2007, so I expect it to be in good condition. Owner claims he had it pumped every 2 years, I have yet to verify.

Sewage is not available on this street, but it is nearby on the street that runs perpendicular to my street. Not impossible, but very impractical to connect to it.

My question is, how big of a negative is this? Is it a huge negative on an exit strategy?

Any input is appreciated very much.

Septic is not a negative it is only another consideration to factor into the equation. I know many park owners advise against septic but the only reason for that is to eliminate any and all systems that would require additional concerns. As long as the deal is good septic should not be a concern.
Depending on how many homes are on a tank you may want to pump yearly.
Since your system is practically new regular pumping of the tanks should make for trouble free operations.

Thanks Greg, I’m not so much worried about operations. I was just curious as to how much this limited the market when it comes time to resell.

The deal does appear pretty solid, it’s over a 10 cap after I implement RUBS for the water.


Don’t know where this deal is. I would personally not buy any park with Septic in Texas. As there are ramifications once the septic fails as you will have to meet the current code.

I don’t know how many perspective buyers would avoid purchasing a park on septic simply because they have been scared off by regulations and horror stories but I do know that there seems to be enough people out shopping for parks that finding buyers for almost any type of park is possible. You found a good deal with septic and when you sell there will be others looking to buy.
You have to remember that most likely the vast majority of parks are on septic and every one has a owner and all will have future new owners regardless of the septic as long as it is a good investment.

Good point Greg.

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