Can a Manufactured home be sold and removed from property?

[n2clogn]

I'm looking for some advice. My husband and I are looking to purchase a house and we came across a beautiful, large, year 2000 double wide on 3 acres in Orange, VA. My husband is hesitant to purchase it because it won't have a significant resale value because of the double wide.

Our realtor suggested that because of the lot size, we could purchase it, and in the near future, sell the double wide back to a Manufactured Homes Company and they will come and remove it, refurbish it, and resell it. We would then be left with a property ready to build on.

I'm looking for someone to verify this information. Can this scenario actually play out?

[David Oxhandler]

1 - Manufactured homes were built in factories and trucked to your site. A professional moving team can install the running gear and weld on hitches, if these were removed and haul the home off of your land. At one time this was a very inexpensive task. Over the past several years with higher gas prices and increased Federal and State regulation, in most locations moving a manufactured home has become quiet expensive. While a MH dealer might purchase you home for resale, you would probably have to sell it at a fraction of its value to leave enough room for 2 relocations... From your place to the sales center and then once resold to the new owners location. If you are determined to remove the home you might do better reselling it yourself. See Guidelines for Selling Your Manufactured Home OnLine

2- I'm afraid that you have been misinformed about home appreciation/depreciation - But don't feel like your alone. Many Americans have been victimized by an outdated conception of manufactured homes—one which has been perpetuated in the news media... IN FACT, manufactured homes held up well, even when compared to site-built homes. That this is the case should not really surprise anyone: since 1999, manufactured homes have been built and installed to standards tougher than any but the most recent codes for site-built structures.

Since the end of the housing boom and the loss of value to all types of existing homes, those built off site, in factories have held a higher percent of their original value when compared to those built on site.

"The cost of manufactured homes is significantly lower than the cost of site-built homes. This gives them an instant appreciation between what the home actually cost the homebuyer and what its market value is. In some cases, a multi-section manufactured home has sold for more the second time than the first. Properly setup and well taken care of, you are talking about a fantastic investment potential.

If a home of any kind is built or setup in a bad neighborhood or area it will probably depreciate no matter what. In a good area or neighborhood they will generally appreciate in value depending on the local housing market and economy. In the case of a manufactured home, if it is setup on a permanent foundation... blocked properly and anchored properly, with good drainage so water does not sit under the home and if one buys from a reputable dealer who uses good setup people, the home will be no different than a site built home. It would appreciate in value at the same rate as a site built home in the same area." (http://www.rebelhome.net/myth.html)

"Consumers Union assessed the financial appreciation of manufactured-housing units, by examining the relative appreciation rates of manufactured housing and site-built housing, as well as the factors affecting the appreciation rate of manufactured housing. Their analysis includes an extensive literature review of previous work in the field, as well as primary research using data from the 1985–1999 American Housing Survey Panel and county appraisal data from several counties in Texas. The stereotypes of manufactured housing are built upon very real differences in appreciation experienced by the people who own them. The large proportion of manufactured homes in rental parks contributes greatly to the lower appreciation experienced by manufactured home owners as a whole, as land ownership is an important driver of appreciation. High variation in the individual appreciation rates of manufactured homes also causes a higher proportion of manufactured homes, even packaged with land, to lose value over time. Even so, average appreciation rates of manufactured homes packaged with owned land are statistically in line with the site built market, and there are few inherent reasons that a home built in a factory should perform differently than one built on site. Our analysis suggests that consumers can make decisions which can improve the appreciation of a manufactured home. Land ownership, location, purchase price and maintenance expenditures are among the factors that predict appreciation, and should be considered when attempting to increase appreciation in a particular unit." Consumers Union Report

You can download the Consumers Union Report at no cost HERE

[n2clogn]

Thank you, thank you, thank you for this wealth of information and advise! Much appreciated!