In the case of modular homes, the homes are partially built at the factory and then completed at the place where the owner lives.
Like a traditional house, the residents may rent or own the house. However, the house is attached to the land it sits on, and they are considered a single piece of property. For mobile homes, this is where the similarities stop.
There are two scenarios with mobile homes when it comes to ownership:
- Owning the mobile home and the land: The resident owns the mobile home and the land on which it sits. If they live in a mobile home park, they may be considered a “shareholder” of sorts in the community and pay fees similar to an HOA.
- Owning the mobile home: The resident owns the mobile home, but does not own the land it sits on. They rent this land from a landlord or park owner, such as at a mobile home park.
The category the mobile homeowner falls into will determine two very different processes for selling their mobile home, which we will go over.
Selling a mobile home without the land
If you’re ready to sell your mobile home but don’t own the land, the sale will be similar to selling a car. In fact, the mobile home is registered with the Department of Motor Vehicles (DMV), and the homeowner has a title to the property. When the mobile home is registered, there is even a numbered tag that needs to be affixed to the “vehicle,” like a license plate.
When the homeowner does not own the land, the mobile home is considered “chattel,” as it’s a movable piece of property. There are special mortgages and loans called chattel mortgages to pay for the house, while the land is rented from the landlord.
Selling a mobile home when you do own the land
For homeowners who own the land that the mobile home sits on, the selling process will be the same as a traditional house. Rather than personal property or chattel, it’s real estate and real property.
According to Realtor.com, when a mobile homeowner also owns the land in a trailer park, it’s called a “lot lease” situation and the parkowner has the ability to veto a sale if the mobile home buyer doesn’t meet their requirements.
Other than that, the mobile home and land are listed, appraised, inspected, and go through the regular process of buying and selling a traditional house.
What if I want to sell the mobile home, but not the land?
Whatever your reason for separating the mobile home from the land, it can be done by following the same steps:
- Change the mobile home’s classification from real property to personal property (aka chattel). This separates the mobile home from the land in terms of ownership.
- Register the mobile home with the DMV, which will provide you with a title. When you finalize the sale with the buyer, the title will be moved into their name.
- Like you would with a traditional home, the buyer (and their lender) is going to want to see an appraisal of the mobile home. There are companies who specialize in appraising mobile and manufactured homes.
- In case the mobile home needs to be moved to a new location, this is typically a cost incurred by the buyer.
According to Moving.com, the cost is going to vary significantly based on the size and weight of the mobile home, how far it’s going, and other services that may be added on (such as permits and taking apart/setting up the house).
Working with Meridian Trust
Meridian Trust has more than 15 years of experience purchasing houses, townhomes, condos, apartments, multifamily units, and even manufactured homes. Whether you’re in foreclosure, looking to do a short sale, or want to sell your mobile home and the land that comes with it without the hassle, Meridian Trust is ready to talk. We’ve seen it all, too, from homes in pristine condition to vacated and trashed properties.
Call Meridian Trust today for a free, no-obligation property value analysis of your mobile home and land. If we’re able to make you a cash offer, you can decide if you’d like to move forward — no stress. There are no hidden fees, and we even take care of the closing costs for you.
Call us at (954) 807-9087 to learn more about Meridian Trust.
Note: This guide is for informational purposes only. Meridian Trust does not make any guarantees about the sufficiency of the content in or linked to from this blog post or that it is compliant with current law. The content within this blog post is not a substitute for legal advice or legal services. You should not rely on this information for any purpose without consulting a licensed lawyer in your area.
