I’ve been doing due dilligence on a park near my home. Owner inherited park and wants it gone.
Park has 130 occupied homes, 10 are POH. Assuming all rental income is used for rental expenses.
Lot rent is $300
Master Metered Water
A few vacant homes that can be sold as is or repaired and sold for minimal costs.
130x$300x60 = $2,340,000. Offer is open to seller financing. Asking price is $2,300,000.
$400,000 (avereage over past three years, supposedly hire now)
Insurance: $60,000 (incredibly high due to slip and fall claim, I’m in the process of getting quotes from other providers)
Maintence/Wages/Payroll Taxes: $100,000 (again, super high and can easily be reduced with better management)
Repairs and Maintenance: $50,000
Permits and Licensing: $3,000
I have yet to go to bootcamp, so I may be missing something in the numbers. Any advice or tips are greatly appreciated. My experience is mainly with multifamily buildings.