Like most marketplace the Seller usually wants too much and the purchaser wants to pay too little for any mobile home softball park. Certain buyers may have different motivations for purchasing a certain park (1031 money, ability to acquire better financing, conversions to other uses, and location to where they live). In this book we will only look only at 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 involving real estate may have heard mention of the 3 approaches to determining the value of that real estate. They are the Cost, Sales, and Income System.

Unless you are coming up together with value of a product new mobile home park or an individual which is predominately vacant, I do avoid seeing any reason to be able to the cost approach. It is not likely that this new mobile home park will be built nearby exactly what it would cost to build an alternative park does not even take into account the amount of time, effort, and funds it takes to fill that park up with occupied and paying citizens.

As far when your Sales or Market Comparison approach to value, this likewise highly suspect. Need to based on comparing the sale for this subject property with other recent sales and adjusting for differences that you might not know exactly about. Problems with this approach include varying expenses, rents, and management. Whether you’re an investor or appraiser I definitely 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

https://goo.gl/maps/hAfj89yvsshumVqR9

Posted on:
July 11, 2019