Buying Mobile Home Parks

What are the steps to the process of me trying to buy this Mobile Home Park?

Well I live in the Mobile Home Park and I need to save this place before it goes into foreclosure. It makes $2,190.00 per month. And per year basis it makes $26,290.00. The current landlord is a scum bucket. And he don't like to buy anything new. He likes to band aide everything.

information you need to identify to know if you want to dig deeper.

-reason for selling (is seller motivated - goes into structuring the whole deal)
-how long have they owned the property
-# of units
-as is value (current NOI)
-ARV (proforma NOI)
-asking price
-debt owed (to determine strategy for creating your deal) current loan, terms, is it assumable, possible seller 2nd, etc.
-capital improvements
-current occupancy (potential upside) (low occupancy could also present a possible MLO)
-current market occupancy
-current market cap
-% units (if any) park owned
-total acreage
-acreage available (if any, goes to bringing the property to it highest and best use and/or potential profit centers)
-proximity to conveniences
-as well as 'previous' park use (what was the land used for before park? ei: if it was a previous landfill could pose environmental issues, Phase 1, 2's etc. OR could be as simple as use to be a cow pasture)
-also expenses tenants are responsible for, expenses owner is responsible for (typically MH park expense are a very low ratio)

This is initially first look to determine if your interested in looking deeper. Whether your looking at a retail or wholesale deal. How you can get into it without front loading the project. Determining your entrance also with foresight of developing your multiple potential exits.

hope this helps.

Jen

saw the foreclosure note after I submitted.

has an auction date been set?
what amount is owed to cure the loan?

if you could cure the loan and stop the foreclosure would he sell at what's owed, etc. get the idea? finding out what he WILL do and NEEDS to do can structure the deal.

This place has always been a Mobile Home Park. He already told me to make him an offer and he will entertain it. So I think I'm doing the right things. I just want to make some good income with this property.

she understands all she knows. I would call her Ms. Gray but she might think I was calling her old. LOL

Steve - heck no! no where near old. but on second thought 'old' ain't what it used to be either. LOL

Donald - you said it makes $2,190 mo. is that gross, effective or net?
my first step would be finding out what's owed and what it would take to bring it current. also look to make sure there are no back taxes as well.
then I'd look for answers as to why it's going into foreclosure. was the owner stripping it, was the property 'actually' not covering expenses and debt servicing, etc

identify your short and long term plans. identify several strategies/exits. identify how your going to acquire the property.
you said he 'bandaide' everything, meaning is their deferred maintenance/capital improvements that need to be made to the park, etc

current occupancy meaning is there an upside to recognize

just to see if you are going to be taking on someone elses headache

without seeing the bigger picture there are alot of variatables unknown for suggestions
Jen

Well its a headache for him to travel all the way from connect to Here in Germantown New York. Their is no back taxes or liens on the property. He just stopped paying the mortgage because he wanted to pocket the money. Yes I think so. Because yearly it makes $26,550.00. So And their is no other repairs that have to be done besides the water pump inside the house that needs to be replaced. He had a brand new well pump put in last month.

It's going into foreclosure because he don't want to deal with the headaches, and having to travel all that way to come and fix this and that.