Mobile Home Park Selling Tips
One question we frequently get from individuals and companies that are listing their mobile home park for sale on our site is "How much information should I include in my listing to be posted"?
We have always taken the stance that you can place as little or as much information on the site and will continue to do so. However, based on my experience with selling my own parks on the site I have found that the following formula works the best:
- Include a description of the park - number of spaces, occupied spaces, monthly rents, acreage, size of spaces, whether the streets are paved or gravel, and type of utilities and who pays what.
- Include a description of the area - population, major employers, surrounding structures, and other important demographics.
- Financing and Terms, if any. If there is not owner or assumable financing you may want to talk to some finance companies before listing the park to see what the potential loan and terms may look like for a qualified buyer.
- Income and Expense Statement - I typically include Projected income based on current occupancy and Actual expenses from the previous year with adjustments for any differences. By including fictitious statements or those that are missing important information, the credibility of the seller will be compromised. If the income and expense statement looks bad, then either don't include it in the listing or else explain why it looks so bad and how it can be improved on.
- If you do not want your manager or residents to know the park is for sale then for the location make sure that you make it General (like Colorado or Southern California). You are not required to list the park name and address.
- A description of any park owned homes and notes. If possible I would recommend you separate the income and expenses from the park owned homes out from the lot rent portion.
- Pictures - that is often the first question you will receive. If you don't have a way to scan these or email them to us to post them in the listing, then you can always snail mail them to us and we will scan them on. Like the saying goes... a picture is worth a thousand words.