Hello,I’m 22 years old with a very short credit history. I’m learning a lot about mobile home parks, and plan to learn everything there is to know. I was wondering where I could find an equity partner to potentially finance my first park. I’ve found a few parks that look decent, and are offering seller financing with cap rates just over 10%. I don’t have money down, anything to trade, and obviously would not be qualified to finance myself. All of which is why I prefer to seek an equity partner. Any ideas or tips? All information is appreciated. If my plan is premature, feel free to say so, and offer a different approach to success. Thanks guys!
Get it under contract and assign it for a fee. Or maybe assign it for a small equity position.
With little experience, no down payment, what do you have to offer? Getting a park under contract with No deposit is very unusual and at what point does ethics enter the picture–since you apparently could not close the deal. My first park I became the hire hand to learn first hand from the owner and two years later had an extra $200,000 in our checking account.
Take your assignment fee and use it as an equity position in the park. I have this same arrangement with the group I work with. I have my own capital to bring on top of my small equity position as well, but I’m confident that we would work with someone in your position on a deal that meets our acquisition criteria. I sent you a PM with my contact information. Feel free to reach out to me any time.
Carl, how did you acquire the $200,000?
He said he didn’t have money down, if you don’t even have the means for a EMD that may be a diff story. But assigning contracts is common and hardly unethical. With a little networking someone can have a few investors on hand for a good deal. Many sellers could care less who the ultimate buyer is. Many won’t even notice the “assigns” clause though if you’re that concerned with the ethics of it you can be up front about your intentions. Or you can earn 200K as a “hired hand.” Good luck with that.
It was work getting my hands dirty although being raised on a dairy farm understood responsibility and risk at a young age. At the end of one year put $30,000 mostly from the park operation and sold it for a profit a year later. I am presently dealing with a syndicator and the party readily showed he has investors with over a million three to invest and was being upfront in his aspirations. Ethics is becoming .a term loosely used and slick Willly is not a aberration–when looking at P and L their is ??? numbers or some time do not understand NOI, ROE etc. Have a blessed day!!