April 29, 2024

Opportunity Unlocked: 5 Reasons to Invest in Mobile Home Communities

Investors are traditionally well acquainted with the conventional real estate market, but what if we, at Suncrest Capital, can show you a type of real estate investment that hasn’t been fully tapped? Enter mobile home communities - a dynamic and often overlooked asset class with the potential for high returns and a significant social impact.

This blog dives into five compelling reasons why investing in mobile home parks deserves a spot on your radar:

1: Mobile Home Investments Are on the Rise

Homeownership has become increasingly out of reach as single-family home prices continue to rise. As of April 2024 interest rates for a 30-year mortgage are over 7%. That is more than double what they were just three short years ago.

Here's the breakdown: According to FRED Economic Data | St. Louis Fed, the average sales price of houses sold in the US sits at $492,300 as of 2023 Q4, whereas a double wide mobile home can be purchased for as low as $107,000. This is a substantial cost difference that translates into a lower barrier to entry, making mobile home parks an attractive purchase for both new and seasoned investors alike.

Mobile homes prove to be a recession-resistant investment because they offer a more accessible entry point even when interest rates and costs are high. Investors who are paying attention have noticed the mobile home market rising and jumped at the opportunity to get involved.

2: Investing in Mobile Home Parks Makes a Positive Social Impact

Investing in mobile homes is about much more than just financial gain; it's about making a social impact. By offering well-maintained, affordable housing options, you're contributing to a crucial segment of the housing market. This ensures families have access to safe and secure living spaces, fostering a sense of community and stability.

Improving existing mobile home communities benefits residents by supplying an affordable yet quality housing option while benefiting investors.

Mobile Home Communities Benefit Residents by Providing:

lower costs than a single-family home
amenities like manicured community spaces, or pools
less maintenance
high flexibility

Mobile Home Investors Benefit From:

the ability to acquire multiple properties for a fraction of the cost of traditional houses.
a diversified portfolio
maximized rental income - without raising rates.

3: High Cash Flow and Predictable Returns

Working an hourly wage is one way to earn money, but investors know that the true path to wealth is by developing a passive cash flow. Passive investments mean just what it sounds like, you put in a minimal amount of effort yet receive stable returns. By investing in mobile home communities with Suncrest Capital you can count on tax benefits, established lenders, calculated dividends, and trusted property managers so that you can sit back and enjoy the cash flow. Suddenly you’ll be enjoying your secure financial future.

4: Strong Demand: A Growing Market with Stable Occupancy Rates

The demand for affordable housing is undeniable, but we don’t take this for granted. Before we purchase an investment property, we check for specific economic markers.

Key indicators that a mobile home community will be successful are whether the city has Quality schools A vibrant downtown A growing population compared to the supply of housing High median home price versus the average income A market of young professionals, retirees, and fixed-income families.
This research translates to a track record of buying properties with consistently high occupancy rates, ensuring a steady stream of rental income for investors.

Also on our side, is the developing shift in perspective from trailer park to mobile community. We are proud to be front runners in this change. Our communities are well-manicured, include modern amenities, and feel safe, well-lit, and welcoming. This leads to steady and increasing occupancy rates and the ultimate growing popularity of mobile home living.

5: Diversified Portfolio Means Lower Risk

Spreading your investments across different asset classes is a crucial strategy for mitigating risk. Mobile homes offer a unique way to diversify your real estate portfolio. The performance of the mobile home market may not always mirror that of traditional real estate, potentially providing a hedge against market fluctuations.

Pooling resources with a company like ours makes it easier for your investment dollars to be spread between several projects and increases the opportunity for higher returns. As you reinvest returns, the income begins to make waves.

How Investing With Suncrest Capital Can Help You Succeed

At Suncrest Capital, we have combined experience of over 25 years of real estate investments and a growing portfolio of close to 25 properties. We understand the potential of mobile home investing and are dedicated to helping you navigate this exciting market.

Our team has a proven system for investment property acquisition. We depend on specific indicators to identify high-potential mobile home communities in desirable locations.

We are connected with lenders and investors who help secure otherwise hard-to-find financing solutions for purchasing mobile home parks.

Our trusted property managers keep the investment community running smoothly, which frees up your time, offers peace of mind, and ensures a truly passive income.

We provide ongoing investor education and support throughout your journey toward generational wealth.

Ready to Take the Next Step in Mobile Home Investing?

Mobile homes represent a compelling investment opportunity with high returns, lower risk, and a chance to make a social impact. If you're looking to diversify your portfolio, achieve financial freedom, and contribute to affordable housing solutions, mobile home investing might be the perfect fit for you.

Contact Suncrest Capital today at investors@suncrestcap.com to schedule a consultation and explore how we can unlock the potential of mobile home investing.