I always wanted to buy a mobile home park but the opportunity hasn’t been there for me yet.
However, this apartment complex has popped up and it is a good deal I think.
30 all-studio units for $180k. 100 year old place! Made of brick. Somewhat shaky neighborhood, but in a popular growing city. Next to walmart, mcdonalds, hospital, avg home sale is ~$105k. 60% occupied. Owner just got rid of a bunch of trouble tenants.
$300 rent which is low.
Owner bought the apartment 2 years ago for $190k. He owes 150k on it. He doesn’t go into specifics of why he is selling except that it doesn’t fit his criteria for rentals.
I can bank finance it for 5 year maybe 7 years with 20% down.
My plan is to move into the apartments if it is rather safe. If not I would just rent somewhere else safer close by.
I have 30 days due diligence and then 15 days after that to close. It started today! Thanks to the Due Diligence Manual from this website I used a lot of the info from it and emailed my list of items that I want from the seller.
I havent seen the apartment complex yet, just some basic pictures.
First time doing a big thing like this. I currently have two SFHs that are cash flowing and I am netting little over 1100/month between the two.
What are all your thoughts on this deal?