If you’re thinking about selling a mobile home and need an overview of the process, you’ve come to the right place.
Let’s first look at the biggest question mobile homeowners ask: how hard is it to sell a trailer?
The quick answer is this: selling it won’t be any harder than if it were a traditional house—if you own the land it’s on. On the other hand, if you do not own the land your trailer house is sitting on, selling it will be harder. Not impossible; just more complex. We’ll tell you why.
How to Sell a Manufactured Home Fast
Usually, the fastest route to selling a trailer is when your buyer is an investor. In this scenario, much of the traditional selling process gets collapsed into a few simple steps. This is possible because the investor buys properties in bulk and has ample resources to buy, fix up, and re-sell (or rent) your mobile home. For more on selling a manufactured home at lightning speed, skip to the bottom of this article (look for the heading, “How to Sell a Trailer Quickly.”)
Selling When You Own the Land Your Mobile Home Sits On
When you own your manufactured home as well as the land that it sits on, the selling process looks the same as if you were selling a regular house. You may sell it yourself, in which case you’ll handle the advertising, showings, negotiations, contract, and closing arrangements with the title company. Or you’ll sell it with the aid of a realtor, and he or she will handle most of the work.
Selling When You Do Not Own the Land Underneath Your Manufactured Home
When you don’t own the land that your trailer is sitting on, the selling process looks different. Your home isn’t technically real estate. It’s considered “chattel,” or personal property. This impacts how you sell the home.
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Many people with trailers live in mobile home parks and lease their lots from the park owner. They are in a “lot-lease” situation. They don’t own the land. If this is you, it means you can’t sell your manufactured home without involving the mobile home park owner. The park has occupancy rules and regulations, and the new owner of your home must abide by them as you have. The park owner requires documentation that the new owner will be compliant; he or she may also have the right to approve (or veto) your potential buyer. This makes the sales process more complex.
Before investing a lot of work into marketing your home for sale, check if the park owner has what’s called the “first right of refusal” or the “right to first refusal.” These are interchangeable terms, both of which mean the park owner has the right to buy your trailer house if he or she matches the offer of a buyer. (It’s a way the park owner can maintain control over who lives in the park.)
Buyer Financing Options to Consider
A lot-lease manufactured home is harder to get a traditional mortgage for than a mobile home on its own land. Some lenders will finance a lot-lease mobile home,but the number is limited.
FHA loans are possible for properties that meet certain strict criteria. Historically, FHA loans have required inspections and that the buyer signs a multi-year lease with the mobile home park.
Chattel loans are another financing option. Special lenders offer chattel loans. Usually, they require inspections and their interest rates are higher than other lenders.
If you’re in a position to offer financing yourself, this will expand your pool of buyers to include those who don’t want to take out a bank loan or who are unable to because of poor credit. You would take a downpayment and then agree on repayment terms for the balance of the loan amount. Be sure to secure the services of a lawyer for this kind of arrangement so that you are protected.
Securing a cash buyer for your mobile home is, of course, the ideal. Because manufactured homes generally sell for much less than traditional homes, cash buyers are entirely possible. If your home is in poor condition, it may be impossible for a buyer to get bank financing, so a cash purchase would be the only option unless you offer owner financing.
How to Sell a Mobile Home Quickly
As we mentioned above, usually, the fastest way to sell a manufactured home is by letting an investor purchase it. You don’t have to jump through any of the hoops associated with a traditional real estate sale, and the selling process is usually simple and efficient.
Houston Capital Home Buyers (HCHB) is a real estate investor that buys manufactured homes. We are an established and reputable company that has enjoyed doing business in Texas and other states for over 12 years. We are in good standing in the real estate community; the Better Business Bureau has granted us an A+ rating.
During our decade-plus in real estate investing, we’ve purchased over $26 million worth of homes. This translates into over 200 homes bought and over 400 families helped. Our accumulated experience in real estate transactions gives us the ability to work confidently with people in all types of situations. Our customers know they’re in professional hands when they choose to work with HCHB.
How does the process work? There are three easy steps:
You call us and tell us about your trailer house.
We visit your mobile home to assess its value.
We make you a cash offer and schedule a close in as few as 4-7 days.
What about inspections? Don’t worry. Our only inspection is a basic assessment of the property to inform us of its value. No other inspections are necessary. What about the park owner? We’ll handle all the necessary documentation for you. Is it all legal? Yes. We use a title company to handle the paperwork and execute the closing.
Wrapping It Up
People sell manufactured homes all the time, and you can sell yours. The selling process is more complicated if you don’t own the land under the home, but it is still possible. For a fast sale of your manufactured home, consider selling it to an investor such as HCHB.