The entrepreneur bug is getting to you, and you’re interested in this thing called “passive income.” Did you know that mobile home park investing can generate passive income?
If the idea of passive income appeals to you, you need to consider mobile home park investing. At the very least, it’s certainly worth looking into. (And if you’re still a little bit in the dark here, no worries. We’ll soon explain what passive income means and what it can do for you.)
Let’s learn what it takes to leverage mobile home park investing for passive income.
We also intend to break down what “passive income” means and why people want it.
Park investing and passive income
When it comes to mobile home investing and passive income, we’ll look at two different options for generating passive income — buying individual homes in a park vs. buying a whole park.
But first, we intend to break down what “passive income” means and why people want it.
What is passive income?
So what is passive income?
According to Investopedia.com, passive income is “earnings derived from a rental property, limited partnership, or other enterprise in which a person is not actively involved. As with active income, passive income is usually taxable, but it is often treated differently by the IRS.”
It’s income that’s garnered from property that requires little involvement from the owner. Generating passive income is a dream that’s achievable if you know what you’re doing!
Other forms of passive income include stock investments, running a blog, creating a course, or dropshipping — but that’s not all. Rental properties fall into the category of passive income.
Why is passive income alluring?
If you still don’t get what all the fuss is about, that’s OK. We’ll explain.
Be The Budget lists ten reasons why passive income is important. While we won’t list all ten, we’ll share a few reasons to whet your appetite for generating passive income.
Oftentimes, churning up income feels like one is stuck in a continuous hamster wheel, living from paycheck to paycheck. But what if, somehow you were on the outside of that wheel? Watching it turn without you always on it? What if, while you were sleeping or working on other projects, income from one stream just trickled in? And what if you knew that income stream would be consistent from month to month?
This is why passive income is so alluring. It’s a consistent bit of income that works for you.
Additionally, passive income gives you some more breathing room to pursue the things you’re passionate about. What’s not to love about that?
As you can see, it certainly makes sense to be intrigued by passive income. (Mind you, work is still involved! So don’t get us wrong. It’s actually something you can delve into further through our other articles.)
Is park investing a good avenue?
With a quick internet search, you’ll find countless success stories surrounding mobile home park investing. The testimonials are there. Yes, mobile home park investing is a good avenue for passive income! And there are two ways you can go about leveraging passive income from mobile homes.
Buying individual homes in parks
First of all, consider buying individual homes in mobile home parks then using them as rental properties. Rather than having to shell out for an entire park, you can build a collection of mobile homes within a park or on land of your own. Be sure to look into all of the paperwork associated with such an endeavor. And read the fine print before you sign!
Buying individual mobile homes will allow you to get started fast as opposed to saving up and having to find investors for an entire park. There’s more at stake with a big investment such as a park.
Buying an entire park and renting out lots
If you’re able to make it work financially, you can also buy an entire mobile home park. Just remember — it’s all about location, location, location. Is the park situated in a place people would flock to? Who’s your target market? Can you work with the park and its location, making changes as needed, and still reach your target market?
Is passive income right for you?
So is passive income right for you? It’s up to you to decide that. Not everyone is called to do the same work. We hope the information we provided sheds some light on the benefits of mobile home investing as passive income. Of course, here at EZ Homes, we certainly believe in the power of mobile home investing.
If mobile home investing sounds good to you, but you’re cash-strapped, how can you get started? Here we have some tips and tricks for saving up for your first mobile home investment. Mobile home investing is an opportunity, and it’s one that’s worth saving up for.