When dealing with pre-existing mobile home parks and mobile home communities it is important to understand common objections and restrictions you may likely come across. It is almost always better to have more clarity than less clarity when it comes to purchasing real estate and/or investment properties.
Mobile homes can typically be located in a few different common locations. Most of the mobile homes you will come across for purchasing or investment purposes will be found…
- On a small private lot owned by the mobile home owner.
- In the middle of many acres owned by the mobile home owner.
- On a mobile home dealer’s sales lot.
- Inside of a typical pre-existing mobile home park.
Here are some of the most common (& not so common) mobile home park restrictions…
1. Income restrictions (most):
Most mobile home parks around the country will have a minimum income requirement for potential residents of the community. In many communities the net income of a family typically must be at least 3x the lot rent amount. This means if lot rent is $600 than a family’s net income should be $1800 or more for approval. Remember that each mobile home park will likely vary in their approval process and requirements.
Pro Tip: As an active mobile home investor you may not need to prove income as much as an owner-occupant may need to. This is because the park manager knows your intention of reselling to an approved buyer with proper income.
2. Credit restrictions (most)
Most mobile home parks around the country will have a minimum credit score required from at least 1 member of each household wishing to live inside the community. A common benchmark for many communities is a minimum credit score of 550, however other parks may have much lower or higher minimum credit beacon score requirements. Remember that each mobile home park will likely vary in their approval process and criteria.
Pro Tip: At certain parks it may be possible to pay a higher deposit or use a cosigner if your credit is not ideal. Always remember to be honest in your application. Honestly and sincerely explaining to the park manager why your credit may not be the best is almost always a good idea.
3. Certain or all pet restrictions (most)
Most mobile home parks around the country do restrict against dangerous or vicious breeds of dogs. These breeds of dogs are typically outlined by insurance companies and include but are not limited to; American pit bulls, Rottweilers, Akitas, bull mastiffs, Staffordshire Terriers, and Dobermans.
While most mobile home parks typically do not want the above breeds within their community, some communities forbid all cats or dogs altogether. These communities may only allow birds, fish, and reptiles, or perhaps none of the above. Remember that each mobile home park will likely vary in their approval process and criteria.
4. Criminal restrictions (most)
Most mobile home parks around the country do screen for criminal offenses locally and nationwide. Remember to be honest and forthcoming when speaking to Park managers about your past. Criminal restrictions in parks vary wildly from community to community. Some communities will not allow DUI offenses in the past 20 years, and others will not care in the slightest.
5. Past evictions:
Most mobile home parks around the country do screen for previous evictions. This will be a deal-breaker in many communities, however the length of time since the last eviction will absolutely vary from community to community.
6. Age restrictions (some)
Some mobile home communities around the country require all residents inside the community to conform to a certain age. Some communities allow only residents 40 years or older to live inside the community, while some parks only allow residents 55 years and older to live inside the park. Almost all of these communities will allow overnight or weekly guests that are under the resident-age limit of the park.
Pro Tip: As a mobile home investor, some senior communities will allow you to work within the park even if you are under the required age. These communities understand that you’ll be selling the home to a park approved buyer and not living in the property yourself.
7. Non-Criminal restrictions (very few)
On less than one hand this author can count a few mobile home parks that cater to selling mobile homes to only former convicted criminals and/or sexual offenders. These parks are an extreme minority. These communities help to fill a valuable need in their communities, renting or selling mobile homes to human-beings most other landlords easily turn their backs to.
8. Minority restricted (very few)
This author hates to even be including this bullet point. Around the country certain prejudices and hatreds exists towards people different than ourselves. Most people choose to openly treat others with respect and human decency. This is the same for almost every park manager and mobile home park owner you will ever interact with. However, there are very few certain park managers and/or certain mobile home owners that do actively, and illegally, restrict or make it very difficult for certain minorities to become approved in their parks. Fake reasons for an applicant’s denial may or may not be rational or even disclosed to the particular applicant.
Disclaimer: There are other restrictions around the country when it comes to owning properties inside mobile home parks or mobile home co-op style communities. There also a number of other restrictions included moving mobile homes to and from certain states, cities, and parks.
When in doubt about your background?
Ask the manager if you have any questions relating to your specific background situation or credit history. This will give you a good chance to open up and have a conversation with the community manager. Remember this is a time for the manager to vet you, as well as chance for you to make sure this manager is someone you want to work with on a regular basis.
While certain mobile home parks may contain a number of restrictions they do vary from park to park. Aim to keep an open mind and proactive attitude when reaching out to park managers and aiming to get approved within the community. It is typically better to have more clarity rather than less clarity while moving forward purchasing or investing in any mobile home on private land or inside parks. If you have any questions never hesitate to comment below and reach out anytime.
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