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  • Comment Detail

  • Date: 05/30/23
    First Name: George
    Last Name: Allen
    Email: gfa7156@aol.com
    Organization Type: N/A
    Organization: EducateMHC

  • Comment

    Guess it's time for manufactured housing's Traditional 3:1 Rule to 'go public'. It's been around the land lease community (a.k.a. manufactured home community & 'mobile home park') real estate asset class since at least the 1970s (when I first learned it). Goes like this: Do a market survey of conventional 3BR2B apartment rents in any local housing market. Then, divide the average monthly unit rent by '3'. The $ result is what to expect monthly rental homesite rates, in land lease communities in that same local housing market, to be. For example: average conventional apartment rent rate is $1,500 per month. Dividing this number by '3' suggests rental homesite rate to be near $500.00/month. Only caution is to ensure ancillary charges, in both types of multifamily properties, are handled in the same fashion, e.g. water, sewer, trash, etc..