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Four factors to consider when selling your mobile home

close up of small blue gray mobile home with a front and side porch

Thinking of selling your mobile home? Before you list your property, get acquainted with the differences between how to sell a mobile home and a more traditional stick-built house.

  1. Do you own the land? Do you need to retire the title?
  2. Do you own the land that your mobile home sits on? If yes, you can sell the mobile home like how you would sell a stick-built home. An additional step is to retire your DMV-issued title for a warranty deed to declare it as real estate.

    Things are different if you’re leasing the lot that the mobile home sits on, like in a trailer park. In this case, your mobile home is considered “chattel” or personal property. In this case, the management of the community or park will have some say on who gets to buy your mobile home.

  3. How will you finance the sale?
  4. In the case of manufactured homes for sale, financing options are also slightly different.

    You can get an FHA loan. Requirements can be strict, however, and typically include home inspections. The buyer also has to sign a lease that covers at least three years with the park or community if you’re selling the mobile home as chattel.

    Another option is to get a chattel loan which is designed specifically for mobile homes and other similar properties. You may have to search for lenders that offer this type of mortgage. The requirements are usually not as strict as FHA loans and the rates are not as competitive.

    You can also finance the sale on your own. You get to come up with your own repayment terms. The title will be transferred to the buyer upon deposit of the down payment while the property will be on a lien until it’s fully paid. The main challenge lies in finding the right buyer.

    If you are behind on loan payments or your mobile home isn’t in the best condition, the best option for you may be to find a cash buyer. They will be able to buy your mobile home for sale with cash up front. That said, it is highly likely that you may have to lower your asking price to make your property competitive.

  5. Does your mobile property meet installation standards?
  6. Your mobile home may be a manufactured home. But what’s the difference? Mobile homes are factory-built structures built before June 15, 1976, while manufactured homes were built after that date.

    June 15, 1976 is significant because of the introduction of the HUD Manufactured Home Construction and Safety Standards or HUD Code. Because of this, manufactured homes follow set federal standards while mobile homes don’t. The term “mobile home” these days widely refers to manufactured homes, however. To be sure, check when the property was constructed if you are not the original owner.

    If your property is indeed a manufactured home, it should be built according to the Model Manufactured Home Installation Standards. Before you sell, hire a structural engineer to inspect the home to make sure everything about it is up to code. This will help widen your buyer pool to include buyers with government-insured mortgages like FHA and Veteran Affairs (VA) loans.

    Manufactured home inspections can be a slightly simpler affair given that many systems are mounted and accessible underneath the structure. To be safe, do an initial walkthrough and make sure all data plates and maintenance documentation are available for inspectors and appraisers.

  7. How will you come up with the best listing price?
  8. Pricing a mobile home is also slightly different from pricing a traditional stick-built house. For one thing, consider that while the value of real estate generally increases over time, the value of manufactured homes depreciates like cars. Therefore, new mobile homes for sale will go at a premium. Features like the site topography, size, location, and any amenities you’ve added to the structure can also greatly impact pricing.

    To come up with the best price for your mobile home, work with an appraiser and a real estate agent who specializes in mobile homes.

    If you’re looking to sell your mobile home, work with Sundance Property Management! We have 30+ years of experience in the industry and know the real estate and investment property markets in states like Ohio, Kentucky, Georgia, South Carolina, Tennessee well .

Let Sundance Property Management help guide you through the process of selling a mobile home and provide you with exceptional service driven by the family values that have come to define our company. Call us at 513.489.3363 or send an email at info(at)sdpmi(dotted)com.

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