For many decades, mobile homes have become a popular residential option in many states. They are a preference for many because of their mobility and pocket-friendly prices. In theory, purchasing a mobile home is very similar to buying a manufactured home. In that sense, it is essential to involve a licensed mobile home dealer.
Purchasing a mobile home from a mobile home dealer
State laws govern new and used mobile homes when the sales are made by dealers representing the manufacturer of the mobile home.While these laws vary from state to state, it is not unlikely to find legal requirements similar to these:
- The sales contract should include clauses that cover several important details, including a notice that states all complaints concerning the specific purchase should be referred to the dealer or the apt state agency
- The dealer should have an escrow account to hold the purchase money until the sale has been finalized and the mobile home delivered.
- The dealer must be validly licensed by and within the state of its operations. One can verify a dealer’s license via the states consumer protection agency
- The sales contract should feature a clause specifying that the buyer has accepted the mobile home with all its implied warranties. The warranties might include the warranty of merchantability and the warranty of habitability. Such warranties protect consumers from substandard products.
- Every new mobile home should be accompanied by a warranty covering several things, including plumbing, cooling, electrical, and heating systems.
- The mobile home must be licensed and registered by the state motor vehicle agency. On the sale of new homes, sales and use tax must be paid.
Purchasing a mobile home from a mobile homeowner
A current owner can undoubtedly decide to sell their mobile home just like a traditional brick and motor home. When purchasing a used mobile home directly from the current owner, one can get financing the purchase with a mortgage. In this case, the lender usually sorts out the details of finalizing the details.
When one opts to purchase the mobile home in cash or by a trade-in, they then need to familiarize themselves with the various legal and other vital details involved in trading mobile homes, including:
Paying the sales and use tax.
The charges are usually determined and collected when a buyer registers the mobile home with the state motor vehicle agency, and the title is transferred to their name.
Ensuring there are no unpaid liens on the mobile home.
This can easily be accomplished by searching for the title in the state motor vehicle agency or the county tax records. If there are any outstanding arrears, the buyer should ensure that the seller has cleared the arrears before finalizing it.
Ensure all the utilities and electric services have been paid for in full.
Arrange how the accounts will be transferred to the buyer’s names once the sale has been finalized.
Establishing whether the mobile home can remain on the land it is located.
This could be private property or a mobile home park. If the buyer intends to move the mobile home to another location, it is also worthwhile to establish whether this is possible without tampering with the lease signed by the previous owner.
The buyer must also acquaint themselves with the zoning laws in their area, to make sure that nothing has changed in regards to the site. Possible changes could include an increase or decrease in the maximum number of homes legally allowed in the said property and changes in the septic and sewer requirements.