RV Parks Are Worth the Investment

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RV

Owning or investing in an RV park is a great idea for all those who love being outdoors, being their own boss, and being around people. According to Frank Rolfe — an active investor in Recreation Vehicle parks for almost two decades — these types of parks are “a very high-yielding investment.” He further states that a person could see anywhere from 10 to 20 (plus) percent return on their money.

Recreation Vehicle parks are one of “the highest-yielding of all real estate asset classes.” This means that investing in an RV park is a great way to maximize the return of one’s money.  Most of these facilities are owned by mom and pops. This gives them the ability to carry the financing affairs. Rolfe states:

When the seller carries the financing at a low interest rate, it compounds the yield you can make on your money thanks to leverage. Leverage, as long as the interest rate on the loan is lower than the cap rate of the deal, will give you an even higher return.

RVMany RV park owners enjoy what they do so much that they do not feel like they are working at all. There are not many places of employment where one can enjoy the great outdoors, see the wondrous wildlife, and speak to people from different places.

RV parks offer campers a wonderful home-away-from-home experience. When an RVer pulls into a park they are looking for a fun and peaceful time. This gives RV hosts and owners a perfect opportunity to let their guests know what cool amenities their facilities have to offer.

Across the United States, there are over 12,000 RV-related businesses. Altogether they have a combined annual income of over $37.5 billion. RV parks have a higher capitalization rate than mobile parks, according to Jellystone Park.

Successful Recreational Vehicle parks can be worth $1 million, if not more. They can be an investment that lasts throughout the years — bringing multi-generational fun. Rolfe states that RV parks “can provide financial and quality of life benefits that far outreach any stock, bond, CD or other form of real estate.”

Written by Sheena Robertson

Sources:

RV Park University: Investment Comparison: RV Park Vs. Mobile Home Park; by Frank Rolfe

Jellystone Park: Investment Comparison: RV Park Vs. Mobile Home Park

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