MHP Closing Cocktail Podcast, SC 7-Pad Mobile Home Park Deal

In this brief Closing Cocktail episode of The MHP Broker’s Tips and Tricks, we chatted with superstar MHP broker Paul Schaaf about his experience selling SC 7-Pad Mobile Home Park in Greenville, South Carolina.

As always, this episode is hosted by Maxwell Baker, the co-founder of The MHP Broker, and brought to you by our proprietary Community Price Maximizer. Use our four-step system through which we’ll help you sell your mobile home park or RV community and guarantee you a higher price. Ask us for details.

Here Are Show Highlights:

• The MHP Broker’s Paul Schaaf recently closed on SC 7-Pad Mobile Home Park, a mobile home park in Greenville, SC. (Max, 00:22)
• Paul had an existing relationship with the ownership group, having both bought and sold properties for them in the past, so they called him when they wanted to deal. (Paul, 00:59)
• Paul’s clear understanding of the seller and the transparency shared with him about the park made it easier for him to find a buyer and transact a sale. (Paul, 1:59)
• There was one challenge that could have been more of an obstacle if Paul didn’t have the respect of both parties. A park-owned home was in bad shape that had to be rehabbed before the sale. The work wasn’t able to be undertaken by the time of the buyer’s on-site tour due to COVID complications, but it was completed afterwards. Paul was able to send photos of the work, and that was enough for the buyer since they’d obviously grown to trust him. Other than that, everything went smoothly. (Paul, 2:21)
• It was an off-market deal. That’s only about 15 percent of The MHP Broker’s deals, but it’s becoming more of a trend in the market today. (Max, 3:10)

SC 7-Pad Mobile Home Park represents a good example of how quick and easy an off-market deal can when brokers know what they’re doing and have earned a position of trust. Let us help you sell your park, whether off-market or on. Just drop us a line at info@themhpbroker.com or give Maxwell Baker a call at 678-932-0200.

Power Quotes on This Episode:

 (Regarding working within an established business relationship) “We knew each other

and trusted each other right away. And we were able to pretty much find the right buyer,

because we understood the ins and outs of the seller, and how they’ve improved the

Park, understood their books and records, and could paint a clear and sound picture for

the buying party.” (Paul, 1:54)

(On completing rehab of a home and getting sign-off without the buyer actually seeing

 the work.) “…we have gained a level of trust with the buy side and the sell side that, hey,

these are the pictures the job (that) has been completed and everyone signed off on it.

So it was that level of agreement that we were able to surpass that hurdle of a home that

needed work.” (Paul, 2:21)

“I’d say 15% of what we normally do is off market. But as the market is changing, y’all,

 we’ve obviously got to adapt, so we’re seeing a lot more off–market opportunities.” (Max,

3:10)

00:02

Hello, and welcome to The Mobile Home Park Brokers tips and tricks. This is the podcast where we talk about mobile home park investing, because that’s what we’ve been involved in for the last decade. Let’s dive into today’s episode. Here’s your host, Maxwell Baker.

00:22 Maxwell Baker 

Hey y’all, welcome to another beautiful episode of the mobile home park brokers tips and tricks. Today we’re going to be going over another amazing, colossal closing that we just did. So we’re doing a closing cocktail with Paul Schaff and the community he recently closed in Greenville, South Carolina. Paul, welcome to the show.

00:46 Paul Schaff

Hey, Max, thanks for having me on.

00:47 Maxwell Baker 

Yeah, man, of course, tell us a little bit about this deal. Like how you found it and how the seller was and the buyer. We want to know all the details about how the deal went down, and how you were able to overcome some objections and all that jazz.

00:59 Paul Schaff

Yes, so this was a deal where we already had a good relationship with the ownership group by helping them find a couple other parks and you know, selling a few others. So we were able to maintain that level of experience and trust with the selling group and was able to connect them with a motivated buyer. They were a new buyer but had done their due diligence, and they had cash. So we were able to put together a pretty seamless deal in negotiation, because there was, you know, plenty of upside and meat on the bone for the buyer. And then, you know, the seller was just ready to use those funds on a new venture. So those were the two motivating factors for getting the deal done.

01:46 Maxwell Baker 

Awesome, man. So, the buyer you said you had done some deals with in the past?

01:51 Paul Schaff

Yeah, the selling group.

01:53 Maxwell Baker 

Yeah, there we go, there we go.

01:54 Paul Schaff

Yeah, so as a referral, and we knew each other and trusted each other right away. And we were able to pretty much find the right buyer, because we understood the ins and outs of the seller, and how they’ve improved the park understood their books and records, and could paint a clear and sound picture for the buying party.

02:15 Maxwell Baker 

Awesome. Awesome. And what about some issues you came across and you overcame? Yeah, any things that happened?

02:21 Paul Schaff

We did, there was a park own home that was under a rehab or needed some maintenance, deferred maintenance and the timetable just kept getting extended out for that repair due to COVID in the tenant that was in there. But through constant communication with the selling group and making sure we are on target to close the deal. We were able to send pictures to the buyer because they weren’t able to walk the home during the site visit. But we have gained a level of trust again with the buy side and the sell side that hey, these are the pictures the job has been completed and everyone signed off on it. So it was that level of agreement that we were able to surpass that hurdle of a home that needed work.

03:06 Maxwell Baker 

Nice, man. Nice. Well, this deal is off market, I believe. Right, Paul?

03:09 Paul Schaff

That’s right.

03:10 Maxwell Baker 

Yeah, it was an off market deal. So we don’t normally y’all do a bunch of off market stuff, it’s probably closer to like, I’d say 15% of what we normally do is off market. But as the market is changing, y’all we’ve obviously got to adapt, so we’re seeing a lot more off market opportunities. But to wrap this up, Paul, congrats on the closing, as always, y’all if y’all are thinking about selling or buying, but really selling your mobile home community or RV community, in the Greenville or surrounding markets or really here in the southeast, give us a call give Paul a call. He’s done really well. He’s been with the firm for about a little over a year now and has been setting records and benchmarks for new people on the team and has done really well with helping sellers realize kind of the potential for pricing their park correctly. So give us a call (678) 932-0200. And as always, this episode is brought to you by the Community Price Maximizer. It is our proprietary system that will guarantee you a higher price. When you exclusively list your community with us. It’s a four step program. And as always, we’re grateful that you give us your business and we’re here to add as much value as we can to make sure you get the highest price you can when you sell your community. So Paul, thanks again for joining the show. And let’s keep moving forward.

04:37 Paul Schaff

Thanks, Max. Looking forward to the next deal.