Differences Between Buying A ‘recreational vehicle’ Park Versus An RV Park
Like most marketplace the Seller usually wants too much and the purchaser wants to pay too little for any mobile home playground. 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 in the value of a mobile home park for the typical buyer who continue to operate because a mobile home park.
Anyone that has seen an appraisal on a house or most types of real estate could have heard mention among the 3 approaches to determining the associated with that real holdings. They are the Cost, Sales, and Income Reach.
Unless you are coming up together with value of a brandname new mobile home park or 1 which is predominately vacant, I do avoid seeing any reason to utilize the cost concept. It is not likely that a new mobile home park will be built nearby and what it would cost to build a new park does truly 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 furthermore highly suspect. Famous . based on comparing the sale for this subject property along recent sales and adjusting for differences that you might not know with reference to. Problems with this approach include varying expenses, rents, and management. Whether you’re an investor or appraiser I would certainly use this approach as potential information and not draw any conclusions out of it.
Lago Vista RV Park
2871 Hwy 72 W, Three Rivers, TX 78071
(361) 436-0845
