Like most industry the Seller usually wants too much and the purchaser wants to pay too little with a mobile home school. Certain buyers may have different motivations for purchasing a certain park (1031 money, ability to obtain 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 continue to operate it as a mobile home park.
Anyone that has seen an appraisal on a house or most associated with real estate may have heard mention on the 3 approaches to determining the value of that real personal. They are the Cost, Sales, and Income System.
Unless you are coming up light and portable value of a brand new mobile home park or one that is predominately vacant, I do avoid seeing any reason to be able to the cost concept. It is not likely if you have a new mobile home park will be built nearby and what it would cost to build the brand new park does genuinely take into account the amount of time, effort, and money it takes to fill that park up with occupied and paying home-owners.
As far because your Sales or Market Comparison approach to value, this one other highly suspect. Individuals based on comparing the sale on the subject property with other 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 are 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