How you can Value a Mobile Home Park
Like most industry the Seller usually wants too much and the purchaser wants to pay too little for every mobile home school. Certain buyers may have different motivations for choosing a certain park (1031 money, ability obtain better financing, conversions to other uses, and location to where they live). In this book we will only look only in the value of a mobile home park for the typical buyer who continues to operate because a mobile home park.
Anyone that has seen an appraisal on a house or most epidermis real estate will have heard mention on the 3 approaches to determining the associated with that real property. They are the Cost, Sales, and Income Get near.
Unless you are coming up together with value of a product new mobile home park or the one that is predominately vacant, I do not see any reason to utilize the cost method. It is not likely that this new mobile home park will be built nearby the it would cost to build brand-new park does actually take into account the amount of time, effort, and funds it takes to fill that park up with occupied and paying passengers.
As far because your Sales or Market Comparison approach to value, this one other highly suspect. Need to based on comparing the sale on the subject property along recent sales and adjusting for differences that you might or might not know exactly about. Problems with this approach include varying expenses, rents, and management. Whether you’re an investor or appraiser I would likely use this approach as potential information and not draw any conclusions from that.
Lago Vista RV Park
2871 Hwy 72 W, Three Rivers, TX 78071
(361) 436-0845
