MOBILE HOME LOANS By PS Loan
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![]() New Manufactured HomesWhen you purchase a new pre-made home, you only have to decide where to put it. There are two choices. Owners can put new manufactured homes on leased lots in developments intended for use by manufactured homes or they can put their new manufactured homes on land they own. The leased option has few problems. The development that is zoned for manufactured homes is ready to go. The drawback is that a manufactured home on leased land is like a car in a parking space – it doesn’t increase in value. When the land is owned, a manufactured home becomes like any other – it increases in value along with similar sized homes in the area. “If you buy the land and install the home properly it can become appreciating real estate with a title recorded as a matter of public record just like a site-built home.1” When owners search for a home site to buy, there are a few questions to ask. The Rules As with any new construction, there are zoning and other restrictions on land use. Some local zoning laws may forbid manufactured homes or have limits on their size or appearance. Before purchasing a lot for a manufactured home, a buyer should contact the local land use department. The realtor or phone book can put a buyer in touch. Some land lots can have restrictive covenants that control how the land may be used. A title search is always conducted when land changes hands. An attorney that specializes in real estate can find any restrictive covenants and determine whether land can be used for new manufactured homes. New manufactured homes come complete with connections for utilities. It is the buyer’s responsibility to find out whether utilities are available on the land and how much it will cost to connect to the sources. The local public utilities division is the place to contact for information. The buyer should also contact the local power company to make sure that there are electrical connections available on the land. While it’s easy to take that for granted, if the company has to run new connections it can add a great deal to the cost. Another thing that could be taken for granted is the availability of water. Presumably land ready for new manufactured homes does not already have a home on it. Check with the local water authority and if no water is supplied to the lot, a well-digging company may be needed. Finally, a buyer should find out about sewer facilities and, in their absence, about the cost and requirements of the installation of a septic tank system that will be compatible with most new manufactured homes. Ideally, the land should be chosen before looking at new manufactured homes. While the land should be compatible with the new home, the home will have to comply with local zoning laws. According to the Manufactured Housing Institute, “Before you select and buy your home, you should decide where it will be located.” It’s a lot of work, of course, but the pay off is the perfect home on the perfect land – both of them increasing in value.
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