7.5 Acres in Salem, IN - $397,000
26 lot mobile home park. CASH COW. All city utilities.
26 lot mobile home park
7.5 acres
1120 Old State Rd 60 Salem, IN 47167
Invest: $59,550 as owner financed down payment
Make: $900,000
Includes a stick built home valued at around $100,000
Possible to recoup down payment in first year of ownership by selling home!
CITY WATER, CITY SEWER, CITY STREETS
Water, sewer and trash directly billed to tenants from city! Zero water/sewer/trash bills to you
City streets (no snow plowing fees during winter)
Lot rent is $225
11 owner-occupied lots
House rent is $500
Total monthly income: $2975
Expenses:
Insurance - $500
Property Taxes - $3300
Annual Permit - $100
Management - $3500
Repairs/Maintenance/Mowing - $3000
Total Yearly Expenses: $10,400
Average monthly expenses would be: $867
Total net = $2975-$867 = $2108(total monthly net)
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Reason for selling: Need more time to focus and expand my other businesses.
Out of state owner. Park runs itself. Have not been to park in over 7 years!
Great residents and great manager.
Deposits are made to our local bank account
Currently park has 11 owner occupied lots and 1 stick built home with a 10 year+ long term tenant and never any repairs requested in past 7 years we have owned the park.
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$397,000 Purchase Price
15% down ($59,550) with 3.25% (WSJ Prime Rate)
$337,450 balance with a monthly interest payment of $914
$2108(monthly net) - $914 (monthly loan payment) = $1194 net profit
$1194 x 12 = $14,328 Yearly Net Profit
$14,328(Yearly Net)/$59,550(Down Payment) = 24% YIELD
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In a span of 3 years it is possible to bring rents up to $270 or higher and filling up the entire park would make total monthly collections: $7,570
Which would have a valuation of over $1,300,000 at a 6% cap rate!
Very beautiful picturesque city.
Population is increasing.
Brand new Super Walmart just built in the city
Demand is extremely high for affordable homes in Salem, IN
A lot of opportunity here for the future owner.
Text or email for quickest response
Tony: 949-939-1133
