Value

[Brandon Law]

My wife and I are considering buying a '89 MH in the Yuma Foothills area. It appears to be in really good shape with trees and outbuildings (both on concrete pads), but the MH itself is on jackstands. We are planning on owning it for at least three years. Many people are telling me that I shouldn't buy a MH because they don't hold their value, especially when not on a foundation. I'm wondering whether or not it is a good investment because it's in the Yuma area and also if it will be hard to get financing because it's not on a foundation?
Thanks, Brandon

[David Oxhandler]

MHI has put up a great page on this subject. Check it out at www.manufacturedhousing.org/understandi ... _value.htm


They say:

"Do manufactured homes appreciate in value?

In general, manufactured homes will appreciate. But, as with all housing, it is subject to the same market factors which affect appreciation. The factors that impact future value include:

• the housing market in which the home is located;

• the community in which the home is located;

• the initial price paid for the home;

• the age and maintenance of the home;

• the inflation rate;

• the availability and cost of community sites, which reflects the supply and demand influences on the home’s value; and

• the extent of an organized resale network, where an organized network will usually result in homes selling for a higher price than in markets without such an organized network."