MHP Action Steps: Podcast Episode #19

Today, Jason and Glen return to discuss MHP action steps. “We closed three deals this week,” he says. “We’ve been closing a deal about every ten days or so.” This isn’t unusual, either. For the park owners that have sustained, there’s been no shortage of competition.

The guys attribute these deals to the durability of the MHP industry. Rent collections are almost 100% what they were pre-pandemic. In short, the work has only picked up! This inspired Jason to start searching for his first deal. That said, let’s explore effective action steps for entry into the industry.

Action steps for your first MHP deal

Step 1: Create A MHP Database

The first step Glen advises is creating a database. Most counties have at least some presence of mobile home parks. Create a list of each, and familiarize yourself with them. This can help you identify a park that best suits your interests. There are even opportunities to barter leads with other developers or brokers. 

Step 2: MHP & Municipalities

The next steps involve figuring out how you’re going to manage your park. Who’s managing the day to day operations? Who’s filling what role? Be intentional about structuring your team. Everyone adequately fulfilling their roles can help ease municipality restrictions. You could very well face several denials before a successful approval.

Glen recalls one such instance in Eastern Tennessee. “They absolutely did not show me ounce of love. The only thing I got from them was violations because my grass was too high.. Anything they could do to ruffle my feathers.” The same goes for a recent property in Pittsburgh. The biggest takeaway: networking with municipalities helps to lessen these restrictions. Relationships can come in handy, but don’t bank on them.

The most important of the action steps

The best advice is just to get started. “Don’t be lazy,” says Jason. Start reaching out to necessary contacts and building relationships. Glen recommends tools like Google Earth to “give you an edge over competition.” Going this far in depth can help you prepare and narrow your interests.

Patience in your action steps

The mobile home park industry can take a considerable amount of time to break into. Introductory, reputable park deals can take “3-5 years” to close. Most sellers aren’t looking for the fast sale, but rather for buyers that are diligent. Focus patience on being a principled, trustworthy buyer. The rest will eventually fall into place.

After you find your dream MHP

After you find your desired park, learn the details. Instead of focusing on price, “you should already know how many… tenets, homes, and vacant lots there are.” Seek out the value of the property, and get a feel for the owner’s position. Building a relationship here can also help you in the long run.

There’s no time like the present. If you’re looking to join the mobile home park industry, contact us today! The Mobile Home Park Expert is committed to helping you get starting. Check out the Mobile Park Expert Podcast for more breakdowns and information!

Podcast Transcript

Jason Sirotin:
Hello and welcome to the Mobile Home Park Expert podcast. I’m Jason Sirotin joined by the mobile home park expert himself, Glenn Esterson. Glenn, how the hell are you?

Glenn Esterson:
Living the dream, buddy. Hope you’re doing excellent.

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