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This option creates an income stream from the sale of the park to the seller. There is typically interest and principal payments that allow for passive a income stream from your mobile home park investment. The upside to this option is the long term income from the sale of the park. In most cases there is not a significant income drop from park ownership to carrying the financing. This is a great option if you do not need the lump sum cash and current interest rates are triple those a bank gives in a checking account. The downside is the active income that is taxable at the personal income tax rate (interest charges). Your park will sell much faster and for a higher purchase price if you are open to this option. If your park has high vacancy, is valued at less than 1 million dollars or has a high ratio of park owned rental homes this option is one you really need to consider. Your purchase price will be better than if you only accept a cash sale.
