We understand. You’ve poured hours, days, weeks, and possibly months into researching mobile home park investing. Your mind and your heart are invested in this idea.
However, with any venture, it’s important to pause and examine your motives before chasing a dream.
Don’t be discouraged if you have to re-think your dreams
Doing so can save you much grief. Maybe you’re blind-sided by false ideas of what this dream may hold. It doesn’t make you a terrible person if you change your mind, it just means you’re back to the drawing board like all great geniuses.
There’s no shame in re-thinking your goals, so take heart. And don’t get us wrong – re-thinking your goals may not mean that you have to trade out your dreams for a better one. It may simply require that you reshape your thinking as you press forward towards the purchase of that mobile home park investment.
5 terrible reasons to purchase a mobile home park
Now that we’ve encouraged you to face the facts without guilt, we wanted to share five terrible reasons to purchase a mobile home park.
If you’re thinking to acquire a mobile home park for any of these reasons, we hope the following will stop you in tracks. It’s important that you stop, reflect, and re-evaluate your reasons or find some new venture altogether.
#1 You want to get rich quick
Some people want to purchase a mobile home park so they can “get rich quick.”
Oddly, they’ve perceived this investment as some means towards becoming a millionaire in the blink of an eye.
Should you find this in your reasoning towards buying a park, think again. Yes, you’ll find plenty of hype on the internet surrounding mobile home park investing but that’s not reality.
In his bio, successful mobile home investor John Fredo, clarifies the reality of the average mobile home investor,
“I’m not a millionaire and I don’t drive a fancy car. What I do have is a great family, a close circle of friends, happy customers, and a line of work that allows me to spend most of my time with them and pursuing my personal goals.”
#2 You want an effortless job
Looking for an easy job?
Unfortunately, you’re looking at the wrong investment idea.
The time and energy involved after you purchase a mobile home park is no easy task.
Yes, it is rewarding, but you need to look at the investment comprehensively.
For instance, the mobile homes that come with your park will likely require some updating. You should be aware of whether these updates are extensive or minor prior to making the purchase.
#3 You want to impress people
If you’re looking to purchase a mobile home park to impress people, you’ve certainly found the wong investment.
As a mobile home investor, you’ll be subject to a variety of jokes due to the mobile home stigma. A good sense of humor is important for navigating this humor, you don’t have to let it get to you.
In a way, you can impress people by ensuring your mobile home park does not hold true to the stigma.
#4 You don’t want to interact with people
A mobile home park requires interaction with your park residents. There are a variety of needs that will require your attention.
From time to time, they’ll call you to check in on anything that’s gone wrong with their home or lot. Complaints will be made concerning annoying neighbors or pests. You may have some late payments on your hands and it’ll be up to you to make sure accounts are settled.
All the above means knocking on doors and calling up tenants. This is definitely not the job for you if you want to be alone.
#5 You think it’s a low-cost investment
While rewarding in many ways, purchasing a mobile home park is not a low-cost investment. You may need to see about getting a loan, which means you want to be as sure as possible that you’ll get a good return on your investment.
Getting your mobile home park set up or learning the ropes of operation and maintenance is another investment worthy of note. You’ll spend hours preparing to roll out the carpet on your park or figuring out how the previous owners dealt with current tenants.
A good investment that may not be for everyone
In summary, it’s not easy to take a hard look at where your heart is in any situation.
But it’s well worth the agony and transparency. Be honest with yourself and you won’t have regrets. To purchase a mobile home park is no small venture. It’s rewarding, but it’s not for everyone.
If you’d like to know more about mobile home park investing, check out these podcasts we recommend.