Think I have a possible 1st deal lined up from some of my marketing efforts that I may try to pursue.
Basics of it. Park has around 17 spaces. 9 of the homes appear to be occupied. 3 appear to be tear downs, un inhabited. There is also a small travel trailer Was told that this park is on city water/sewer. Lot rents are around 200. The small travel trailer is rented for 350. I believe 2-3 homes are owned by the current owner. Someone inherited the park and has been running it from 45 min away for the last 5-6 years. Says the highest water bill (owner pays ) was around 700 (when there was a leak). Average around 500 . Says city water and city sewer. Road is gravel with potholes in it. Was on dumpster trash which she said was too expensive so now on a few of the large cans up front. around 110 a month. Looking around 40k for the park (plus the two possible homes). Will be tricky to find out what they actually owns. Says they have kicked out druggies etc. Generally sounds problematic and not sure of how many people are actually paying. Claims 1500 in gross revenues on the park.
Let me know your thoughts. I would say the numbers are strong on this but the fact is so small will make it tricky to have huge potential regarding the amount of time I will need to invest. At the same time, I think the numbers are good that I can buy it and as being the first park/learning experience , may be ok for what I have to learn.
Looking forward to your input.
I would like to try and sub meter the park for water. Get dump homes out/ torn down. If anything is salvageable, rehab and sell etc. Any current owned homes, try to sell them. Put up a little fence on the front to enclose the trash and cover the front area a little. Put up a sign, fill in the pot holes and clean up some of the overgrown trees if we did move forward with it.
Any input regarding the take over is also appreciated.
We would probably just do a straight up buy on this without asking financing or I could offer a slightly lower cash price or a two year price where we could pay 1500 a month or something. I assume then it would be best just to get a phase 1. I dont think it would be worthwhile to have the homes inspected