In the past, we’ve talked about mobile home parks as an excellent financial investment. As the foreclosure juggernaut continues to unwind, there is a new truth in the property rental market – former home owners are becoming mobile home renters.
But we’ve noticed that some prospective real estate investors cling to the faulty notion that it’s okay to rent the actual mobile homes. No, no, and thrice no! Renting mobile homes is a magnet for the low-income, domestically-disturbed, nightmare tenants. What you want to do is rent spaces only – that’s where we got our catchy title up there.
Maybe you bought a park with homes already in place. Either sell them to the people living in them or put them up for sale on the open market. The end goal is for all the spaces to be filled with renters who own their own home. It stands to reason that home owners are less likely to go to the trouble and expense of moving. And they also won’t likely be deadbeats who miss rent payments and slink away in the middle of the night.
They’re not going to abandon a mobile home they own!
Plus they’re going to take more pride in the appearance of their neighborhood and apply peer pressure to those who allow their property appearance to stray toward the slovenly. And remember, when you only rent the space, you aren’t on the hook for midnight calls to repair broken appliances.
That’s why we say, buy mobile home parks and rent the dirt.
The Creating Wealth Team
