Manufactured home on top of existing home

[1phatcat]

Hi, New to this site first post! I am looking at purchasing 10 acres of land that has a 2300 square foot house on it. The house is valued at $0.00 as it was apparently built without permits. From talking to the real estate agent, he believes the house is a regular conventional 1st story with a manufactured home on top as a second story. The work looks good and it is stucco on the outside. You can see the 2nd story has the feel of a manufactured home. Is this something normal that happens? Is there any typical way to figure out what manufacturer built it or what model? I have no idea what process it would be to try and get it permitted at this point, but guess it would at the very least require removing a lot of drywall and stucco to prove it was built correctly or to find out it wasn't.
Would love any input anyone has to offer! Thanks in advance for your help! BTW this is in California..

[rmurray]

Only in CA would anyone be odd enough to do this..If the seller says the home is worth 0 it probably is..no permit means the local government can demand it be removed and NOT lived in..Maybe that is why it is on the market..I think I would check with the local government building department or tax department...If the 10 acres are worth more than the purchase price it could be a decent buy..

[David Oxhandler]

Sounds like the seller may be overstating the value and the home might be worth less than 0.

If the local building authority refuses to permit the home you will never be able to live in it. In most areas they simply will not permit the power to be turned on 'till the home has a full certificate of occupancy.

In most areas if the building is not brought into compliance with local building permit rules after a legal time laps the owner can be required to remove the structure or pay steep daily fines.

I would make an offer based on the seller bringing the structure into compliance. If it is turned down ask what price he would ask to do what ever is necessary to get a certificate of occupancy.

Turn your back on any deal short of move in ready. There are just too many really good deals available now from foreclosures to get buried in another persons nightmare.

[1phatcat]

Thanks for the advice.. Here is a little more info.. The property alone is well worth the asking price. It has already gone through foreclosure at this point, been up for auction and now belongs to the bank.. It seems like a no-brainer to me but, I am really interested in trying to keep the house. I figure worse come to worse, all the utilities are at the pad, should we have to tear it down and start over..

[David Oxhandler]

Investigate the cost of removing the home and replacing it. Then take a look at the cost of vacant land in your area. In most parts of the country you cant give vacant land away.

Visit the local building department and find out (IN WRITING) if the utilities were permitted, inspected, and legally available for the next owner to utilize. The last owner mucked up the permit process for the home you cant take anything they did for granted.

When banks make a real-estate sale today it is always "where is as is". At closing you will have to sign documents releasing the bank and real-estate agents from ALL liability and responsibility that sellers might legally otherwise have after the sale. Do your homework upfront!! So you are not surprised by unexpected and potentially crushing costs later.

The lenders are so tight right now that installing or building a new home often as much as three times the cost of a clean almost new foreclosure

If you still think it is a good deal (unless you have the cash) get pre-qualified for a mortgage so you know exactly what you will have to spend.

[mhbratt]

I might be a bit late, but feel compelled to also respond. Be careful, be very, very careful.
I am currently in the midst of a contentious legal battle with the sellers of my home that I'm just learning did NOT have the proper permits or inspections required by my county. And their failure to disclose same at the time of purchase. Not to mention a separate issue that resulted in a Class Action lawsuit, that I've already addressed in a previous posting here.
If I were you, and hindsight being 20/20, get a buyers agent to represent YOUR interests. It would be money well spent.
But, seriously, given the banking crisis, do you really want to trust a banker to be honest, ethical and forthcoming well dumping their problem onto you?
I am not in California however, I am in Maryland.
Good luck.