(FinancialHealth.net) – Trailer or mobile home parks are the largest sources of unsubsidized affordable housing in the United States. Unfortunately, they’re becoming more expensive as big investors snatch them up.
Why big investors are buying up American trailer parks https://t.co/2Xi7BPgati
— Finance News (@ftfinancenews) February 7, 2020
Back in the day, the word “trailer park” would conjure an image of rundown, box-like structures with tall grass and trash surrounding them. Today, many of the mobile home communities look nothing like that.
Homeowners in these neighborhoods manicure their lawns and work in a wide array of professions. For example, my husband and I bought our mobile home in 2010. We’re both business owners, and our income is well above the poverty line. Our community ranges from people in their 20s to retirees.
Big investors also find mobile homes attractive, probably for their reliable annual returns of 4% or more. This is causing problems for residents who are seeing their lot rents rise as a result. Homeowners in one Portland mobile home park for people aged 55 or older suffered nearly $200 in increases between 2012 to 2015. John Oliver discusses the dilemma on his HBO show:
Lawmakers on both sides of the aisle are taking notice, and some states are attempting to protect people who live in the communities from skyrocketing costs. If they’re unsuccessful, these homes may not be the economical alternative they once were for the 22 million U.S. residents who live in them.
~Here’s to Your Financial Health!
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