"What is your average mobile home purchase price?"

I’m often asked, "What is your average mobile home purchase price?" This is not a question that can be simply answered or even calculated accurately because there are many factors to consider.

In recent years, I’ve purchased mobile homes ranging from $37,000 to $149,000. While both fall within the mobile home niche, they represent very different asset classes. Let me explain…

• The $37,000 mobile home was an older, low-end property on a small lot, located near a railroad, and it required significant repairs.
• The $149,000 mobile home, on the other hand, was newer, in a nice neighborhood, and sat on acreage next to a forest.

Both of these homes will generate cash flow, but the lower-end property offers a higher return on investment (ROI) because of its lower purchase price and lower end repairs. Meanwhile, the newer, higher-priced home has more potential for appreciation and long-term value due to its location and condition.

Different Rehab Styles and Finishes

It’s also important to note that properties in different price ranges require different rehab approaches. Lower-end homes tend to need basic fixes—roof repairs, plumbing issues, or cosmetic updates—whereas higher-end homes may require more aesthetic improvements to maintain their market appeal.

Understanding the scope of work needed for a property before purchasing is crucial. For lower-end homes, you may focus on making the property livable and attractive for tenants without over-improving. For higher-end homes, you might need to invest more in quality finishes to ensure the property retains or increases its value.

Align Your Property with Your Goals

Knowing your investment goals is key to determining which property price point and strategy are the best fit for you. Are you in growth mode, looking to maximize your monthly cash flow? Or are you in stability mode, seeking properties that will appreciate and build long-term wealth? The answers to these questions should guide your property selection and investment strategy.