What do you need before you set the number?
You need three things: a current picture of what comparable communities near you are charging, your own occupancy rate, and the notice deadline your state requires.
On market data, the national average site rent reached $746 per month entering 2025, according to Institutional Property Advisors. Among 55-plus communities specifically, Berkadia's May 2025 Manufactured Housing Monthly Insight puts the average at $796 per month. Those are national figures. Datacomp/JLT Market Reports track rent by region and showed the Southern region posted a 4.3% year-over-year increase in average adjusted rent versus 3.2% in the Midwest and 3.0% in the Northeast. Your submarket may be above or below any of those numbers, which is why a local competitor survey matters more than a national average.
On occupancy, NorthMarq data show the national manufactured housing occupancy rate finished Q2 2024 at 94.8%. If your community is running well above that, you have pricing room. If you are below it, a large increase carries more risk.
On notice, the rules differ by state. Florida requires at least 90 days written notice before any lot rent increase takes effect, under Fla. Stat. §723.037. California Mobilehome Residency Law Civil Code §798.30 also requires 90 days advance written notice, though local rent control ordinances in California may impose additional limits. Colorado requires at least 60 days written notice and limits owners to one increase per twelve-month period, per the Colorado Department of Public Health and Environment. Vermont under 10 V.S.A. §6251 requires written notice to both residents and the Commissioner of Commerce and Community Development at least 60 days before the increase; if either party is not notified, the increase is ineffective and unenforceable. Check your own state statute before you set an effective date.
How do you run a competitor survey?
Call or visit three to five communities within a reasonable drive of yours. Ask what their current lot rent is, what utilities are included, and whether they have any vacancies. Write it down the same way each time so you can compare apples to apples.
Note what each community offers: paved roads, a clubhouse, covered parking, age restrictions. A 55-plus community with a pool and 95% occupancy, per Berkadia's May 2025 data, is not the same product as an all-ages community at 94% with gravel roads. Adjust your comparison accordingly.
Do this survey every year before you set your increase, not just once. Datacomp/JLT Market Reports publish regional data that can anchor your survey to a broader trend.
How do you set the increase amount?
Start with your competitor survey results. If your lot rent is materially below the market median for comparable communities, you have room to move. If you are already at or above the median, a smaller increase is easier to defend.
Florida adds a legal constraint worth noting: Fla. Stat. §723.031(5) prohibits lot rent increases that are arbitrary or discriminatory between similarly situated residents. That means if you raise rent on one section of the park, you need a consistent rationale for why another section stays flat, such as a difference in lot size, utility inclusion, or amenity access.
Apply your rationale consistently across comparable lots. Write it down. If a resident asks why their lot went up, you should be able to hand them a one-paragraph explanation that holds up.
Hypothetical example
Datacomp/JLT Market Reports show the Southern region averaged 4.3% year-over-year rent growth. No residents give notice to vacate.
This is a hypothetical. Your market, occupancy, and state rules will produce a different number.
What are the common mistakes?
Setting the increase based on what you need rather than what the market supports. Residents do not know your expenses. They know what the community down the road charges.
Sending notice late. Missing your state's deadline does not just create a legal problem; it signals to residents that you are not running a tight operation.
Raising rent without any communication beyond the legal notice. MHInsider reports that more than 70% of manufactured home community residents intend to stay more than six years and that average resident tenure exceeds 10 years. These are long-term neighbors, not short-term tenants. A brief letter explaining the market rationale costs you nothing and reduces pushback significantly.
Treating park-owned homes differently from resident-owned homes without a documented reason. If your rationale is not consistent, you create both a legal exposure under statutes like Fla. Stat. §723.031(5) and a fairness complaint that spreads through the community fast.
What should you measure after the increase takes effect?
Track these numbers before and after each increase:
- Occupancy rate: total occupied lots divided by total lots, measured monthly. NorthMarq puts the national benchmark at 94.8% as of Q2 2024; use that as a reference point, not a floor.
- Average days to fill a vacant lot: if this number rises after an increase, your new rate may be above what your local market will absorb.
- Resident tenure: MHInsider reports average tenure exceeds 10 years. If you see shorter average tenures developing over two or three rent cycles, that is a signal worth investigating.
Collect occupancy and vacancy data from your own rent roll. Collect market data from Datacomp/JLT Market Reports or your own annual competitor survey. Do not rely on memory; write the numbers down each month so you can see a trend.
What should you do next?
- Pull your current rent roll and calculate your occupancy rate today.
- Survey three to five comparable communities in your area and record their lot rent and what is included.
- Look up your state's notice requirement and mark the deadline on your calendar before you set an effective date.
- Set the increase amount based on your survey, your occupancy, and any regional trend data from Datacomp/JLT Market Reports.
- Draft a plain-language letter to residents explaining the market rationale; attach it to the legal notice.
- Send the notice package by the method your state requires, certified mail or hand delivery where the statute specifies it.
- Track occupancy, notices to vacate, and days-to-fill for the next three months and compare to your pre-increase baseline.