Like many park owners I’m evaluating many options for filling vacant lots, with 3rd party financing programs like the CASH program from 21st mortgage and PEP’s financing program being appealing options.
One signature trait of all 3rd party financing options though is they require the park and owner to personally guarantee the loans. If the park is sold, the new buyer pretty much has to assume that risk.
Has anyone sold a park with a large number of independently financed homes, and did the assumption of the loan guarantees cause any issues or carry a noticeable discount on the price?
I would imagine a park where the purchaser has to cosign for the home loans on 30 of the homes less desirable than a park without that ‘feature’. I wouldn’t think it would carry a sitgma of much more than $1000-$2000 per loan though. I was curious if anyone had been through this and could share any experiences?