Manufactured homes don’t typically come with land. It is up to the homebuyer to either lease a lot space (often in a manufactured home park) or affix their manufactured home onto a piece of land they purchased (if zoning regulations permit). Therefore the land can either be attached to a manufactured home or separate.
The title for the land depends on if you’re leasing a space at a manufactured or mobile home community, (which then needs a certificate of title). One can also buy to own a piece of land yourself. These titles are important for proof of ownership and used in getting your mortgage and loans. (1)
Some good tips from Clayton on legal terms is that a “title” is for transferring personal property like a car or manufactured home without land, formally a “Transfer Certificate of Title”. If your home is fixed permanently onto the land as real property, a “deed” indicates the person as owner of both land and home.
Renting vs. Owning Land
To put simply, the type of home site lot you choose will determine the type of title and permanency of ownership you have. Just as any site-built home, you can buy the plot of land in a residential zone and have your manufactured home installed there.
However, manufactured homes being midway between a home and mobile home, also have this other option of renting a lot in a mobile home park. This can give you the benefits of being with a community and availing of the park amenities and features if any.
The pitfalls to watch out for are the park rents, as they can spike up at any time and the entire park could be bought out. So there’s a good deal of research one must do before choosing to reside in a park. Do they have security? Nice gardens you can walk around? Maybe a clubhouse pavilion with some sports facilities? Mobile home communities that are resident owned tend to be more stable. “If you’re leasing your spot, a three-year term is the minimum for financing your mobile home purchase with a mortgage backed by the federal government.” (2)
Owning the land is always a better financial decision, having control of your permanency and less fluctuation in dues. In buying a home, check if the land is included or if the lot is “owner occupied.” also check for any other restrictions on parking, pets, maintenance and monthly fees that matter to you. You should be able to get all this information from the homeowner’s association. They can also notify you of any pending dues of the previous owner. (2)
- C, K. (2019, April 23). Are manufactured and modular homes titled? l Clayton Studio. Retrieved May 2022, from https://www.claytonhomes.com/studio/are-manufactured-homes-titled/
- Deeds.com. (2021, April 3). Types, titles & taxes: What to know before you buy a mobile home. Deeds.com. Retrieved May 2022, from https://www.deeds.com/articles/types-titles-taxes-what-to-know-before-you-buy-a-mobile-home