Garbage In, Garbage Out – Robert McBroom
The most important information you can give us in relation to selling your property is accurate books and records. The data needs to be sorted in such a way that clearly identifies rental home expenditures from park property expenditures. Whether this is staffing, renovation costs, or repairs and maintenance, they need to be properly allocated.
Every seller wishes to get the maximum value they can get for their property, but the lack of discipline for accurately recording their expenses, allows the values to disproportionately shift.
The cap rates we achieve on the park property are significantly lower than the cap rates for rental home income. Therefore if your accounting has mis allocated home expenses into the park expenses, you will reduce park NOI and directly remove dollars from your pocket on disposition.
Sunstone team members will be attending this week’s NCC conference. Please come find us and come say hi.