Tuesday, July 28, 2009

Terminology Tuesday - Mobile Home Park

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(Note: I think it's important to know the terminology and words used when learning any new business including mobile home investing. I came up with 'Terminology Tuesday' as a day to go over the terminology used in the mobile home business. It's important to know the terminology when talking to people in the business so you're all on the same page).

As defined in Wikipedia:

"A trailer park is a neighborhood consisting of an area of land where travel trailers rest. The term may also be used to refer to mobile home parks or manufactured home communities.

In the United States, tornadoes and hurricanes often inflict their worst damage on trailer parks, usually because the structures are not secured to the ground and their construction is significantly less able to withstand high wind forces than regular houses. However, most modern manufactured homes are built to withstand high winds as well as a mainstream home, using hurricane straps and proper foundations."

Definition Link

Generally, the park will charge lot rent to occupy each lot in the park. There are many pros and cons to investing in mobile home parks. For more info, check out this post.

Happy Investing!

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