land/lease development

[ANN MARIE]

Hello, all.....I'm still looking for affordable land in San Diego to put a manufactured house but have had no luck so far. I came across a development/community here where you can purchase the manufactured house but not the land (land/lease deal). Lease rent can to from $558.00 up to $720.00. This will be in addition to my mortgage loan for the house purchase. They are beautiful homes ( lot of Silvercrest, Oakcrest, etc.) and it beats living in an apartment or condo. I have been renting a beautiful 2-story house for years with no tax write-offs. I feel that I would own my own home and the land/lease rent is tax deductible. I know it's not the best investment but it's good living and with a tax write-off. A couple of homes I'm interested in are selling for $145,000 up to $165,000. These are not Silvercrest "Manors" and, of course, you do not own the land. I know what manufactured houses sell for and these are most likely overpriced because of the housing market here, but as far as I can see, they are not having any trouble selling these homes.

Is anyone out there familiar with this kind of setup? Any pros/cons opinions or input would be appreciated. Thank you.

[augustaga]

I think I would check with my tax professional about the lot rent being deductable..
I do not think it is...The interest on the home is though..

[ANN MARIE]

I was told by a the gal selling the home, that I was interested in, that it was deductible, but then again she wants to sell her home. I'll check for myself. Thanks.

[rmurray]

Good move...this sales person will not be paying your penalties and interest on disallowed deductions...

Make her aware of her error..This makes her sound very inexperienced or a plain dishonest...Neither is very good for a sales person...