If I have renters who are paying $700/month. Can I tell them that they are now paying $300 for lot rent, $400 for home rent. That way I can start separating the lot rent and home rent. Is this a feasible way to do this or do I have to sell the home the tenant to be able to separate the lot rent? Thank you all.
Why do you have to tell the tenants how it’s broken down?
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I guess I don’t need to. Can I just put it in my spreadsheet as lot rent with however much I want? I’m prepping for refinance since appraisers only count lot rent for NOI calculations, I want to have computerized record of the lot rent. Should I not tell tenants anything and just go ahead and separate it myself for my book keeping?
These are park owned homes just rented out. How do I separate lot rent and home rent? Can I just split it on my spreadsheet? I’m prepping for refinancing.
You really need to go to the MHU boot camp, and read the home study course. There are also other threads that talk about how to do this.
What are you worried about, exactly? The split is arbitrary but tied to reality by comps.
I just dont know if the appraiser would count my NOI using the other lower lot rent even split my arbitrary split Is higher at market rate. Also is this a normal business practice to arbitrarily split lord rent for POH’s?
Just tell them your total income per spot either park owned renting or tenant owned renting. If they need it broken down they will ask you, but most appraisers should be able to figure it out…
I’m curious about your park… Tell us more!
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