Looking at 1st deal with a big red flag

Hi everyone;

I am looking at my first deal, a Mhp in NC, 30 non parked owned homes with a GOI of 58860. The current owner (a mom & pop op) has expenses (2009) at $2541.60 which is about 4.5% of the GOI. To me this is a big red flag even for a non park owned community. Even with increasing the expenses to a 21720 I can still CF although my offer would be below asking price, however, as the expenses are this low does this suggest to anyone the potential of major problems looming .

The current owner also owns 13 of the 30 homes. The community is ok, but a little messy, no leases are in place and the manager does not seem to have implemented regulations or enforced them if they have implemented them.

I have more info but I wanted to get an idea of the general thinking behind this one.

Thanks all