Before it was Ferncrest (our glampground), it was a rundown campground called Wilson Campground.
Wilson Campground wasn’t for sale but we purchased it for $285,000 in 2022 (detailed breakdown below).
So how did this come to be and what did we learn from this experience?
The Shortcut to Glampground Success
One of the quickest paths to establishing a glampground is to find an existing campground and convert it. Like it did for us, this approach can help you bypass some of the hurdles such as zoning issues. It will also probably come with existing utilities that you can utilize.
Yes, developing land from scratch allows you to create exactly what you envision, saving on land costs but will likely require more time and investment in development.
Our Story: Finding Wilson
Our journey to starting Ferncrest began when we stumbled upon an old campground that wasn’t even for sale.
It was clear that the place needed love and attention, and this gave us reason to believe that it could be purchased. Despite not being listed for sale, we decided to take a chance and called the number on the sign out front – the same number you’d call to rent a campsite.
This call led to a series of conversations with the owner. We built a rapport, discussed the possibilities, and eventually agreed on a deal to purchase the property.
The best part?
We negotiated a seller financing deal that didn’t require any upfront cash from us. We only needed to cover the closing costs.
The Power of Seller Financing
Seller financing can seem too good to be true, but it’s a powerful tool for both buyers and sellers. We’ve used this strategy in other deals as well, and it often provides a mutually agreeable path forward. It’s particularly effective for properties that have been on the market for a long time or those that aren’t listed at all, where you present a compelling opportunity for the owner to sell without the hassle of listing it.
What is seller financing?
Seller financing utilizes the seller as the lender instead of a traditional bank. So instead of being paid off in the transaction, the seller holds the mortgage and you pay them instead of a bank. They make money on interest, no longer have to worry about the property, and you get to avoid having to find a bank willing to finance the deal.
Our deal is structured as follows:
- $285,000 purchase price
- $0 down payment
- All closing costs and transfer taxes paid by us: $13,310
- Monthly mortgage payment: $1,620
- Additional annual payments on Dec 31: $10,000
- Balloon payment at 5 years (full amount due at this time)
Key Business Lessons from Our Purchase
- Think Creatively: Sometimes, the best opportunities are the ones you create yourself. Don’t be afraid to reach out and start conversations.
- Leverage Seller Financing: This can be a game-changer, allowing you to acquire properties with minimal cash outlay.
- Evaluate All Options: Whether you buy an existing campground or develop land from scratch, weigh the pros and cons to decide what’s best for your vision and resources.
Our journey to Ferncrest was filled with challenges and triumphs, and I hope our story gives you the courage to pursue your glamping ambitions.
Stay inspired and keep pushing forward!
Happy Glamping!
Brian & Joanna Linton
