Florida has more than 1,600 mobile home parks, but you probably haven’t considered owning rental properties in them. Why not? The reasons to invest in a Florida mobile home park are too convincing to dismiss.
Lower Cost
These properties have the lowest cost per unit of any real estate asset class, so they’re perfect for beginning investors. You can spend less time saving for a down payment for a single-family rental and instead start generating rent income with a mobile home. It can be a quick-start approach that pays off with multiple properties sooner. You can spread out any risk with a balanced portfolio of mobile home properties.
Less Competition
Whether out of snobbery or short-sightedness, mobile homes aren’t on the radar for many property owners. But they’re missing out on impressive financing options as well as surprisingly positive tax benefits. Until the word gets out about mobile homes, take advantage of the other guys’ ignorance, and jump on those great deals.
Tenant Demand
Government zoning changes discourage the development of new mobile home parks, so there’s increased demand for existing properties. The deficit of affordable housing isn’t getting any better, and Baby Boomers on fixed incomes need someplace to retire. Generations Y and Z are inheriting a job market that hasn’t stabilized yet, and they’ll be more interested in modest homes that don’t require too much of a commitment.
Longer Leases
Not only can you count on plenty of potential tenants, but you can expect them to hunker down for longer leases, too. That means less hassle of cleaning the unit and searching for new renters. If your property is in a vacation area known for shorter-term stays, any hassle is offset by the higher rent you can charge. Attractions such as Disney World can be prohibitively expensive for visitors, so your mobile home will rarely—if ever—be vacant.
Not all Orlando property management companies have the expertise to effectively oversee mobile home rentals. But R. Russell Properties understands the unique challenges of these investments when they’re located in tourist areas. If you want to learn more about the reasons to invest in a Florida mobile home park—and the cons, too—contact us. We’d love to help you get one step closer to financial independence.
