Home › Selling a Mobile Home Park
Selling a Mobile Home Park — Taxes and the 1031 Exchange
Taxes are one of the main reasons park owners delay selling. After decades of ownership, the gain can be large, and depreciation taken over the years can add to the bill. This page gives general information about the tax topics that usually come up when selling a mobile home park, including the 1031 exchange. It is not tax or legal advice. Talk to your CPA or tax attorney before you sign a contract.
- General information only
- Talk to your CPA first
- We work with your timeline
- We are the buyer, not a broker
- No commission and no fees
- We pay all closing costs
- Offer within 24 hours
★★★★★ 4.9 from 14 verified Google reviews — read them · we buy with our own capital and pay all closing costs
Get a cash offer on your land
Written offer within 24 hours. No fee, no obligation, and we pay the closing costs.
Prefer to talk? Call (855) 800-0177
Taxes when selling a mobile home park
Capital gains and depreciation recapture
In general terms, when you sell investment property for more than your adjusted basis, the difference is a gain that may be taxed. Your adjusted basis is roughly what you paid plus improvements, minus depreciation you have taken or were allowed to take. Because parks are depreciated over time, owners who have held a park for many years may have a low adjusted basis, and part of the gain may be taxed differently as depreciation recapture. State income tax may also apply.
How much of your price is allocated to land, land improvements, buildings and any park-owned homes can affect the result. Your CPA is the right person to work through those numbers with your records.
What a 1031 exchange is, in general
Section 1031 of the Internal Revenue Code allows an owner, in general, to defer tax on the sale of real property held for business or investment by reinvesting the proceeds in other like-kind real property. The rules are strict. In general, the sale proceeds are held by a qualified intermediary rather than paid to you, replacement property must be identified within 45 days of the sale and acquired within 180 days, and taking cash out or reducing debt can create taxable boot. A 1031 exchange defers tax; it does not erase it.
Park-owned homes titled as personal property may not qualify the same way as the real estate. Ask your CPA or attorney how your homes and land would be treated, and line up a qualified intermediary before closing, not after.
Other approaches owners ask about
Some owners prefer to be paid over time; an installment sale can spread when gain is recognized. Read more on sell a park with owner financing. Others hold a park until death, where heirs may receive a stepped-up basis under current law. Each option has trade-offs, and tax law changes. Talk to your CPA or tax attorney about what fits your situation.
Understanding value first helps any tax conversation; see how much is my mobile home park worth?.
How we work with your timeline
If you are doing a 1031 exchange, timing matters on both ends. We can schedule closing to fit your exchange, and we work with your qualified intermediary and closing agent. We can close in as little as 14 to 30 days, or later if your replacement property needs more time. For a fast cash closing, see cash buyers for mobile home parks; for the overall process, see how to sell a mobile home park and our main mobile home park page.
What we need to make an offer
Rent roll
Every lot, occupied or vacant, the current lot rent, who is behind and by how much. A spreadsheet or handwritten list is fine.
Trailing 12 months (T12)
Income and expenses for the last twelve months. Bank statements or a simple ledger work if you do not keep formal books.
Utility bills
Twelve months of water, sewer, electric and trash bills, plus how each is billed back to residents, if at all.
Permits and inspections
Your park operating permit if your state or county issues one, septic or well permits, and any recent inspection reports or notices.
Home titles
Titles for any homes the park owns, plus a list of which homes belong to residents.
The parcel
Parcel number and county. We pull acreage, flood mapping and zoning ourselves at our cost.
How a direct sale to us works
Three steps, no obligation at any point, and no cost to you at any stage.
One call or one form
Tell us the address or APN and the rough size. You do not need a survey, a plat or the tax bill in front of you — we look all of that up.
We value it properly
We research the parcel ourselves, at our cost, before we quote. We price it off recent sales of similar acreage and adjust for access, soil, flood mapping, timber and shape. No cost to you, no commitment.
Written offer, your decision
You have our number in writing within 24 hours. If you take it, a licensed title company closes it and we cover the standard closing costs — typically 14 to 30 days.
Selling to us vs. listing it
Both are legitimate. Listing can bring a higher gross price if you have time, the tract is easy to finance and you can carry the taxes while it sits. Here is the honest comparison.
| Selling to Dreamify | Listing with an agent | |
|---|---|---|
| Who you are dealing with | A direct cash buyer — we are the ones purchasing | An agent marketing it to someone else |
| Commission | None | Typically 6–10% on land |
| Closing costs | We cover them | Usually split or seller-paid |
| Repairs, survey, clean-up | Not your problem | Often requested by retail buyers |
| Financing risk | None — cash | Land loans fall through often |
| Timeline | As little as 14 to 30 days once title work is back | Land can sit on the market for months |
Land we buy
Land we buy
- Vacant, raw and bare land
- Inherited and heir property, including multiple owners
- Land with back taxes or a delinquent tax bill
- Out-of-state and absentee-owned parcels
- Farm, timber and hunting acreage
- Small residential lots and infill parcels
- Landlocked tracts and parcels with access questions
- Land that failed a perc test
- Tracts tied up in an estate or probate
- Property you inherited and have never seen
- Mobile home parks and RV parks
- Self-storage facilities — considered case by case
What we don’t buy
- Houses and other residential buildings
- Land you do not have the authority to sell
- Parcels where a co-owner has not agreed to sell
- Property already under contract with someone else
If we are not the right buyer for your parcel we will say so on the first call rather than waste your time.
We buy with our own money — here is what we have closed
We are a principal buyer using our own capital, not a lead broker collecting details to sell on. A sample of tracts we have bought and closed:
| Tract | Where we closed it |
|---|---|
| 10.7 acres | Morgan County, Georgia |
| 6.24 acres | Jasper County, Georgia |
| 8.5 acres | Pike County, Mississippi |
| 5.05 acres | Dawson County, Georgia |
| 32.3 acres | Perquimans County, North Carolina |
| 72 acres | Pike County, Mississippi |
A sample of tracts we have bought and closed ourselves. We are a principal buyer, not a broker — every one of these was purchased with our own funds through a licensed closing agent.
What sellers say
Every quote below is a real, verified Google review of Dreamify Properties — 4.9 stars across 14 reviews.
“John, the ops manager, was very professional and attentive to detail in ensuring that our transaction was successfully completed. The communication, updates and follow up was excellent. Highly recommend.”
“Dreamify made a fair offer on our property in Alabama… Over the past couple years I’ve had a hundred texts and phone calls from land companies wanting to buy — from low-balling to wanting to put you under contract for 6 months and walk away on the last day. Dreamify followed through on every part of the deal.”
Questions we get asked
Can I do a 1031 exchange when I sell my park to you?
Your side of the exchange is set up by you, your CPA and a qualified intermediary. We are happy to close in a way that fits your exchange timeline.
Do park-owned homes qualify for a 1031 exchange?
Homes titled as personal property may be treated differently from the real estate. Ask your CPA or tax attorney.
Is this tax advice?
No. This page is general information. Talk to your CPA or tax attorney before you sign.
Can I be paid over time to spread the tax?
An installment sale may change when gain is recognized. Discuss it with your CPA.
How fast can you close?
You get a written offer within 24 hours of us having the rent roll and the parcel details, and we can close in as little as 14 to 30 days. Estates, multiple owners or title problems can add time, and we will tell you that up front rather than at the closing table.
Find out what your mobile home park is worth to a cash buyer
Send the parcel details and we’ll research the property, answer your questions, and put a clear no-obligation offer in writing within 24 hours.