I’ve seen both but I figure it makes more sense that a MH space rent would be more because the home is larger and the RV can leave whenever.
Assuming they are both on a long term lot lease and all other things equal the lot rent would be the same. If the RV pads are set up for short term transient rentals (e.g. utilities included as part of the stay) then they would have higher weekly or monthly rates to offset that.
I have both in my park and I charge them all the same for monthly stays. The daily and weekly rates are much different because they include utilities. I rarely have daily and weekly people however because I don’t have the amenities they usually want since they are often tourists.
Thanks you two. What you said makes a lot of logical sense. The info for a park I’m looking at showed a couple RV spaces which were caped at a higher rent than the space rents. Now I’m thinking the seller may be trying to cap short term rent. I’ve never seen long RV history to really know if there’s longevity. They claim two of the ~10 RV spaces are rented so that tells me there probably isn’t much RV demand and wouldn’t make sense to cap those “rented” spaces. Sneaky brokers like usual.
I do have longevity in my RV spaces. Some have lived here in their RV for years. It just depends on the park set-up.
I figure people living in RVs for years is mainly in areas with big affordable housing issues like in California or even somewhere like Salt Lake City or Phoenix. Do you have long term RVers in a 100-200k housing market?
@Bryan1 - I only have 20 RV lots in one of my parks but we charge more for that space even though they are long term. The difference is we pay for water sewer and electricity for RVs. Net we are close to even.
That’s a good point and something likely not to be shown in a sales brochure. Thanks.
No our housing market is not high but our weather makes living in an RV year round very doable and affordable. So many people here do that instead of a starter home or retirement home. Some permanently. I do not include utilities if they are on a monthly stay. I treat them exactly the same as the people who install a mobile home on their lot with the exception of skirting and anchoring. Our county tax laws don’t tax an RV if it isn’t anchored or skirted as long as they leave the wheels and tires in place and keep it registered for the street. Once they start adding porches or roofs over them, etc., they get taxed. So I don’t force them to lose that status.
A little late, but doesn’t it depend on the utility situation, RV size, and length of stay? Hopefully, you have the ability to hook short-timers up to power and bill them for it. That takes a little management time. Should a giant RV trailer space rent for the same as a Class A. motorhome? Are you trying to dissuade overnighters? Fine, put a week’s min. stay on the tenant. In general, an RV park has way higher management needs than the same sized MHP. So you need to charge accordingly. Finally, remember that lenders just will not include the rent from RV’s in your financials/qualification determination. Why? Cuz they can drive off . So, if they aren’t helping you get a loan, and they take more management, should they get the same space rent as a MH? I say no.
My suggestion: Charge long-termers what you’d charge a double-wide. Charger overnighters the going rate at your competition, less 20% to make it attractive to get someone to choose your MHP instead of an RV park.
You made good points. I was thinking in terms of long term RV rentals, but I’ve been reminded RVs are more complex and have different rates depending on term stayed while the rate may be even higher if no passing utilities. Passing utilities sounds like too much math work for a night or a week.
You brought up a good point that RVs are more management intensive as well as the manager may try to pocket short term stayers rent. You reminded me of my ignorance about labor law specifics. I think of MHP managers paid mostly a flat rate or salary for really basic tasks, most of which aren’t dependent on immediate action. Collecting rent and pasting letters on doors can be done within regular hours or anytime. When considering RVs, I’d think managers would have to be ready particular hours which may be wider than what a 50 space park would need. I’m not sure how they’d be legally paid Frank and Daves ~10+ dollar per space rate while sorta being on call for an RV pulling up?